Fort Kobbe Vaults Newsletter_Coins

A look at the Gold and Silver Charts (20.06.2024)

This past weekend we sponsored a hole at the 7th British Chamber of Commerce Classic Golf Tournament.

The prize going to the shot, “Closest to the Pin”. Mr. José Hernández won this category, with a distance of 122cm


Brutal US course_cartoon

Seeing this cartoon reminded me of the number of shots that went very wide, the ones that went into the weeds, the ones that went into the water, the ones that went over the green into the water, and the relatively small number that landed close to the hole. The closest shot for interest’s sake was 1.22m (four and a bit feet) from the Pin.

It reminded me of politics, very few laws actually drop in the hole, some are close and most land in the rough. The ones in the hole and close are aimed at the protection of well lobbied and protected interests, the ones further away and in the rough are designed to catch, rather than protect you and me.

I have lost confidence not only in the US but worldwide in the fairness of governments to rule fairly with minimum interference irrespective of which party (and it is a party), wins.

Living in South Africa during the transition from the Nationalist Party to the ANC, under Nelson Mandela, was chaotic as most whites were instantly removed from their positions of governance.

There was no real governance as new, unschooled in politics and governance, people took over. The country thrived initially, policing was carried out locally. Generally, people behaved extremely well, there was investment from overseas and huge local investment.

Construction, which was absent for many years, proliferated. The mood in the country was upbeat, confident and positive. Relations between ethnic groups improved by leaps and bounds. People began to feel part of an international world, instead of being isolated as we were for a long time.

The euphoria was sadly short-lived. As soon as Thabo Mbeki succeeded Mandela he introduced draconian policies with strict enforcement which killed off the enthusiasm previously held. Reverse racism immediately ensued, draconian immoral laws were introduced regarding self protection and squatter rights. The list goes on.

My point is that humanity thrives with the minimum of interference from the government. 

What I see happening worldwide is exactly the opposite, more and more control over the minutiae of our lives, from where we invest our money to what we spend it on, from where we live to where we can visit and getting worse by the day.

I look daily for the push back. Small pockets are seen, but so small and ineffective.

With no push back the juggernaut steam-rolls relentlessly. The revelation of the reality of science and the unadulterated rubbish we were fed, including lockdowns enforced assiduously, boggles my mind.

That government can’t have the audacity to believe we will fall for the bird flu scam and the slaughter of millions more animals and people beggars belief.

We need to think of what freedom means to us and how we achieve it.

BITCOIN & GOLD

BTC:GLD below shows gold outperforming Bitcoin for the previous five days.

$BTCUSD:$GOLD Bitcoin to US dollar/Gld CRYPT 20 June 2024

ETHUSD we are out and it still looks weak.

$ETHUSD Ethereum to US Dollar 20 June 2024

BTCUSD we are out. It appears to be making a reverse head and shoulders pattern which if it completes portends higher prices. Right now the indicators look negative and I would be out awaiting a break of $72,500.00

$BTCUSD Bitcoin to US dollar CRYPT 20 June 2024

GOLD & SILVER STOCKS

Physical gold is outperforming the stocks.

$GOLD:$HUI Gold- Continuous Contract (EOD) Gold Bugs Index - NYSE - 20 June 2024

Physical silver continues to outperform silver stocks. Demand for physical silver is growing continually and is being reflected in the physical stock comparison. The spike high on the 10th of June is cause for concern regarding a reversal.

$SILVER - SIL Silver- Continuous Contract (EOD) Global X Silver Miners ETF 20 June 2024

GOLD & SILVER

Could gold go to $10,000.00 to $15,000.00? 

According to Graddhy out of Switzerland, his projections show this possibility. Because of rampant inflation, limited available inventory of gold and silver and the suppression scheme which has been ongoing for at least decades, I believe that this is a real possibility. More investors are standing for delivery, depleting reserves of tradeable metals.

If silver follows the 8:1 ratio coming out of the ground the price attributable to it will be around $1,250.00 to $1,875.00.

Ask me when? I have no clue, but I think sooner than one would imagine. Watching Zimbabwe, the noughts accumulated faster than they could print the new notes.

Both Biden and Trump want a weaker dollar. How do we fight that? With hard assets.

Gold Quarterly 50 year chart

Gold and particularly silver are at all time low prices adjusted for currency supply.

Gold price since 1934

“Then ponder that silver’s all-time high is not $50, it is $806. In 1998 US dollar value… And in 2023 US dollar value that is $1,506, using Fed’s massaged inflation calculator…

Silver’s Inflation-Adjusted High In 1980 In Today’s Dollars = $1,506”

So the estimate above based on the gold-to-silver ratio is not far off.

Gold and Silver Ratio analysis

On a continuous basis more applications are being found for silver. The military uses huge amounts for plating components and electrical applications. India could absorb all publicly vaulted silver in a few months once their photovoltaic business gets underway. What do you think will happen to prices under these circumstances?

$GOLD:$SILVER Gold Continuous Contract - (EOD) Silver - continuous 20 June 2024

GOLD TO USD

Gold v USD  The chart below shows that the inverse correlation that usually exists between the dollar and gold has broken and since April correlation between them generally exists. (Gold = red/black candlesticks. Green = Dollar).

$GOLD:$USD Gold - Continuous Contract (EOD) CME 20 June 2024

A LOOK AT THE GOLD AND SILVER CHARTS

TodayLast Week
Gold Price$2,339.00$2,309.00
Silver price$30.12$29.07
Gold:Silver ratio77.54:179.58:1
Gold Miners bullish percent index78.5782.14
Dollar Index105.49105.08
Dow:Gold Ratio (BahaUS 38836.00 Gold price, $2,339.00)16.6016.66
Current USA inflation rate (Dept. of Statistics)3.4%3.3%

Gold’s low of the week was $2,307.00 and the high was $2,346.00, now trading at around $2,343.00

  • The monthly chart for Gold is a hold. We bought it at $1,800.00 and have held it to date. It looks overbought but the indicators are mainly positive.
  • The weekly chart remains out. I see funds flow in but with no impact on the price yet. (Chart below).
  • The daily chart, we are out but price is consolidating. Making a head and shoulders pattern. Let’s see which way it resolves.
$GOLD Gold - Continuous Contract (EOD) CME 20 June 2024

The low for Silver this week was $28.92 and the high $30.48, trading around $30.25 at present.

  • Silver on the monthly chart indicates a hold. The signals look positive for now. 
  • The silver weekly chart is a hold. It looks overbought and seems to be running out of steam. It has touched $28.73 and may bounce from here, trading now at $30.25 (Chart below).
  • The silver daily chart indicates out. There are a couple of indicators pointing up. It may test $28.73 then bounce up.
$SILVER Silver - Continuous Contract (EOD) CME 20 June 2024

Our partner has stock of both Gold, Silver and Goldbacks in our vaults available in Panama. Please contact us for more information.

Goldback FortKobbeVaults Panama

On the Stockcharts.com charts, the blue vertical lines are our proprietary system buy signals and the red vertical lines are system sell signals – for information purposes only

Please contact us to arrange the purchase and storage of your gold and silver requirements in a safe, insured location outside of your jurisdiction.

If you are interested in an overview of Fort Kobbe, you may want to have a look at this video: Mike Brown, Director, Fort Kobbe, International Vaults, A DotCom Magazine Exclusive Interview

This is my interpretation of the market and is not to be taken as financial advice. Before making any buy or sell decisions I recommend that you consult with your professional financial advisor.

Larry Simon
Larry Simon

Larry Simon was educated at the University of Witwatersrand, Johannesburg, South Africa and is an experienced businessman specialised in management, investment and finance.

Subscribe for the Latest News

Subscribe for the latest news and opinons about Gold, Silver, offshore vaulting and other industry information and opinion delivered right to your email inbox

SUBSCRIBE TO OUR NEWSLETTER

To receive industry news and updates​

“We provide a stable and expanding platform of physical and electronic security, technology, human structures and an ideal location that creates trust and resourceful solutions for our exacting wealth management clients.”

Fort Kobbe Panama

Copyright © 2020. All rights reserved Fort Kobbe Management, Corp.

Subscribe for the Latest News

Subscribe for the latest news and opinons about Gold, Silver, offshore vaulting and other industry information and opinion delivered right to your email inbox