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A look at the Gold and Silver Charts (21.03.2024)

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The words DEMOCRACY and REPUBLIC are used interchangeably, I believe deliberately mixed up by politicians who want us to believe we have direct input to the ‘ruling’ process. 

Here are a few differences:

  • Definition:
    • Democracy: In a democracy, the power is vested in the hands of the people. Citizens have the ultimate authority and participate directly or through elected representatives in the decision-making process. The majority rules.
    • Republic: A republic is a form of government in which the country is considered a “public matter” owned by its citizens. Citizens elect representatives to make decisions on their behalf. Representatives are held accountable by the public by way of being voted in from time to time through elections. In a republic, the head of state is usually an elected or appointed president, rather than a monarch.
    • The major difference is that in a democracy power is exercised directly by the people, the Swiss model. In a republic, power is exercised indirectly through elected representatives, the USA model.
  • Decision-Making Process:
    • Democracy: In a pure or direct democracy, citizens vote directly on laws and policies. In representative democracies, citizens elect representatives to make decisions on their behalf.
    • Republic: In a republic, the power is exercised by elected or appointed representatives who are responsible to the citizens. These representatives are typically organized into branches of government, such as the executive, legislative, and judicial branches.
  • Scope of Power:
    • Democracy: Power is typically more decentralized in a democracy, focusing on individual rights and liberties. Decisions are often made through a majority vote.
    • Republic: A republic may have mechanisms in place to protect minority rights against the tyranny of the majority. There may be a constitution or other legal frameworks that limit the powers of government and protect individual rights.
  • Founding Principles:
    • Democracy: The concept of democracy dates back to ancient Greece, where citizens participated directly in decision-making. Modern democracies often emphasize equality, freedom, and the rule of law.
    • Republic: The concept of a republic traces back to ancient Rome, where citizens elected representatives to govern on their behalf. Republics often emphasize the importance of the rule of law, a system of checks and balances, and protection of individual rights.

 In practice, many countries exhibit elements of both democracy and republicanism, making it challenging to categorize them strictly into one of these forms of government. 

 In my opinion the systems worldwide have been so twisted and manipulated, often using the courts to do so, that no true republics or true democracies survive. If you believe one or many truly exist I would love to hear where.

 Time to implement the constitution as it was originally intended in the US and similar documents elsewhere.

BITCOIN & GOLD

Looking at BTCUSD we see that the forecast turn took place. Are we in recovery mode or will the price further retreat to the 50% retracement at $55,820.00? The indicators are somewhat mixed right now.

$BTCUSD Bitcoin to US dollar CRYPT 21 March 2024

The Bitcoin to gold chart also has mixed signals, but offers no switch back into BTC quite yet.

$BTCUSD:$GOLD Bitcoin to US dollar/Gld CRYPT 21 March 2024

Ethereum is behaving similarly to Bitcoin. Our system currently depicts us being out.

GOLD & SILVER STOCKS

The current position of: buy stocks, sell physical gold still holds.

$GOLD:$HUI Gold- Continuous Contract (EOD) Gold Bugs Index - NYSE - 21 March 2024

Silver physical has performed nicely during the previous two weeks, then this week moving as high as $25.77. The stocks have outperformed the physical as can be seen on the chart below. Even though we had one day of outperformance the indicators show no change

$SILVER - SIL Silver- Continuous Contract (EOD) Global X Silver Miners ETF 21 March 2024

GOLD & SILVER

It makes absolutely no sense that depletion of the gold inventory of the London Vaults leads to price appreciation, but the vastly greater depletion of silver has almost no impact on prices. This assumes that the figures presented below are real numbers. 

According to Alastair McCloud there is a massive short position against silver, but the Indian market has an insatiable need for the silver for its burgeoning photovoltaic industry.

As I write this I see the silver price coming off of its highs. A retracement to $23.80 is not unexpected. Once it breaks $26.00 it is free to run up into the $40’s.

GOLD TO USD

Gold v USD has given a sell signal. I look at this as a consolidation before running much higher. Look at the beautiful head and shoulders pattern that has formed. If this resolves correctly gold has a great pathway ahead of the dollar.

$GOLD:$USD Gold - Continuous Contract (EOD) CME 21 March 2024

A LOOK AT THE GOLD AND SILVER CHARTS
TodayLast Week
Gold Price$2,174.00$2,162.00
Silver Price$24.76$24.92
Gold:Silver ratio87.83:186.74:1
Gold Miners bullish percent index35.7132.14
Dollar Index103.99102.97
Dow:Gold Ratio (BahaUS 39844.00 Gold price, $2,174.00)18.3318.11
Current USA inflation rate (Dept. of Statistics) 3.2%3.1%

Gold’s low of the week was $2,146.00 and the high was $2,221.00, now trading at around $2.174.00.

  • The monthly chart for Gold  is a hold. We bought in at $1,800.00 and have held it to date.
  • The weekly chart remains a hold. This week has been a consolidation week for prices. 
  • The daily chart is a sell. Looking very overbought at this level. I will watch for a buy carefully as this consolidation unfolds.
$GOLD Gold - Continuous Contract (EOD) CME 21 March 2024

The low for Silver this week was $24.64 and the high $25.77, trading around $24.77 at present.

  • Silver on the monthly chart indicates out. A couple of indicators have turned up and are looking more positive. Still a long way to go to the previous high of $50.00 in 2011. If it can hold these prices I expect a buy next month.
  • The silver weekly chart is a hold and looking positive for future appreciation. I would like to see it break out of its long term trading high of around $28.60.
  • The silver daily chart is a hold. Silver looks overbought and is due for a correction.

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

We accept the Goldback - Get yours here

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.

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