{"id":49742,"date":"2019-11-20T17:05:13","date_gmt":"2019-11-20T22:05:13","guid":{"rendered":"https:\/\/olduvai.ca\/?p=49742"},"modified":"2019-11-20T17:05:17","modified_gmt":"2019-11-20T22:05:17","slug":"gold-silver-update-setting-up-for-the-next-leg-higher-in-2020","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=49742","title":{"rendered":"GOLD & SILVER UPDATE: Setting Up For The Next Leg Higher In 2020"},"content":{"rendered":"\n

GOLD & SILVER UPDATE: Setting Up For The Next Leg Higher In 2020<\/a><\/h3>\n\n\n\n

The Day of Reckoning is coming, and it won\u2019t be pretty for the overall markets.  While the Fed liquidity has pushed the major U.S. indexes to new highs, the underlying fundamentals in the economy continue to deteriorate.  Without the record amount of Fed QE and Repo Operations, the market and economy would have gone into a tailspin in 2019.<\/p>\n\n\n\n

Now, to give credit where credit is due, the term, \u201cThe Day of Reckoning\u201d<\/a> was the title from the Northman Trader\u2019s most recent public article.  What I like about Sven Heinrich\u2019s work (the Northman Trader), is his ability to use technical and fundamental analysis to provide \u201cPRICE DISCOVERY\u201d in the markets.<\/p>\n\n\n\n

Unfortunately, we don\u2019t have price discovery anymore due to the Fed and Central bank decade-long propping up of the markets.  This chart from the Northman Trader shows how the Fed\u2019s interventions have come in to support the markets at key technical levels:<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

What is quite interesting more recently (2019) is the substantial Fed\u2019s rate cuts, QE, and Repo Operations at a time when there isn\u2019t a downturn in the U.S. economy.  When the Fed started QE1 in 2009, the stock market had crashed to a low, and the economy was in a severe recession.  The Fed continued to support the economy and markets with QE2, TWIST, and QE3 into 2013.  Again, these Fed interventions took place during a struggling economy.<\/p>\n\n\n\n

Today, the Fed is pulling out all the FIREPOWER when the markets are at new highs, and the economy is still rolling along nicely.  This is a recipe for DISASTER at some point. <\/strong> Furthermore, the energy market that is one of the driving forces of the U.S. economy is in serious trouble.<\/p>\n\n\n\n

 \u2026click on the above link to read the rest of the article\u2026<\/p>\n","protected":false},"excerpt":{"rendered":"

GOLD & SILVER UPDATE: Setting Up For The Next Leg Higher In 2020 The Day of Reckoning is coming, and it won\u2019t be pretty for the overall markets.  While the Fed liquidity has pushed the major U.S. indexes to new highs, the underlying fundamentals in the economy continue to deteriorate.  Without the record amount of […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[303,7542,647,662,6934,730,12073,3650],"class_list":["post-49742","post","type-post","status-publish","format-standard","hentry","category-economics","tag-fed","tag-northman-trader","tag-precious-metals","tag-quantitative-easing","tag-repo-market","tag-silver","tag-srsrocco-report","tag-us-federal-reserve"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/49742","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=49742"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/49742\/revisions"}],"predecessor-version":[{"id":49743,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/49742\/revisions\/49743"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=49742"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=49742"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=49742"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}