Re: Probable 2008 type implosion in July
Uploader Comments (Alexiscom1)
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@AwakingTV If you look to the supply fundamentals 25 USD is not realistic. We can see a paper flash crash but no bullion will be sold at 25 USD. I see even 35 USD is hard to reach because of the really strong buying. 100$ silver by July 25 is more realistic then 25$. Money rules will change again in 2011 I have no idea what can happen under new rules. I am sure that cash is going down under any situations.
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Thanks Alex, I think that the continued real estate losses handed to the banks, F.D.I.C. and ultimately the unemployed and underemployed citizens of the U.S. may be the " straw that breaks the camels back ". The entire U.S. banking sector has been built on the wages of the average worker. Now that wage has been reset by " Free Market Capitalism " to zero.
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All Comments (31)
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Great analysis
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@brown55061 those shorts are just insurance policies for people who bought lots of silver. They spent lots on silver but just in case they took small amount of cash to short the market also. either way they will win or lessen there loss's if things don't go their way. Spend 30 million on silver, spend million to short it. Serves as insurance.
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Then how it works is the rich first move into an asset then get the media to hype it up so they will have liquidity to sell the asset at a higher price.
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@brown55061 If you watch mike maloneys video, he argues that money supply is falling and thats where the argument for deflation comes from. The reason for this is because you have to inclue outstanding credit as money supply. I think were in for a short run of deflation followed by massive moey printing beyond the scale of what we've seen so far.
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Thanks. I am with you!!!
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The $25 option is not a rumor, you can use many market programs to track the options contracts out there. There is a decent amount of money betting on $25 silver. They are wrong but that's their problem. If it goes to $25 I may sell my kidney and left nut to buy silver lol. I'll be ALL IN if we see $25 in the next 6 months!!
Hi Alexis. I agree with the argument for short term diflation. In UK we are going through austerity. people are losing their jobs in droves. Added to this, banks are not lending, people are paying down private debt, all leading to a contraction of the money supply. This makes cash harder to come by, not neccessarily more valuable. Theres less to go around. Also in this environment, positions get liquidated leading to falling asset prices. We saw this happen 3 years ago.
andymholmes 10 months ago
@andymholmes Working class becoming poor because the consumer based economy is ending. We are at stagflation at the moment. Real estate and wages are down, food energy and commodities are up.
The way I am understanding deflation is that money goes up in value. I only can see that under gold standard pre1940.
People usually calling deflation the contraction of the money supply. I think that money supply does not matter any more to influence the value of paper the fiat.
Alexiscom1 10 months ago
Logically many people don't know how the currency works. And ignorance and monetary tricks can increase it's value but in reality it will not work but perception trumps reality, thus people will see price go down but never know they can't buy silver or will panic sell silver. The fiat game will continue.
davincij15 10 months ago
@davincij15 5% of the people controls 95% of the money. Most of the those 5% people understand how money works. I am more concern how 95% of the money will move, those wont sell they will buy.
Alexiscom1 10 months ago
It is not a virtual currency because I see you holding it in your hand. All the bank deposits and credit is virtual. What happens when banks do not allow withdrawals, and no credit? Deflation and the money in your hand leaps in value.
People at this time will sell everything to get cash, not a bank transfer but cash.
martialarm 10 months ago
@martialarm That is exactly my point. If we see a deflation and you hold cash on hand you may be able to buy furniture on the garage sale from your struggling neighbor during a very short window of time. Do not expect to be able to buy silver or gold for low price under this situation. Gas and food will go up in price or become scare too during this so called deflation period.
Alexiscom1 10 months ago