Gold Arises As The World's Currency And Means And Measure Of Accumulating Wealth
Friday, 22. August 2008, 09:39:39
A review of stock market trading for August 21, 2008
The yen carry traders sold the USD/JPY driving it down from 110.70 To 108.83, causing the US Dollar, $USD, to fall to 76.11 and gold to rise to $839 and oil, USO, to rise to 98.21.
The PFXGlobal chart of USD/JPY shows it has fallen to the edge of a massive ascending wedge going back to March 18, 2008, when the Fed announced the bailout of JPMorgan and the provision of TAF, TSLF, and PDCF facilities.
Thus we have confirmation that Friday August 15, 2008, was Peak Dollar
Peak Currencies occurred on July 25, 2008, when all the commodity currencies took a massive fall lower.
Gold has now arisen as sovereign over all currencies; and gold is now the measure and means of garnering and preserving wealth which is best seen in the once again rising ratios of gold to fiat measures of wealth.
GLD:VTI ... Gold is better than US Stocks GLD:VTI is seen rising from a value of 1.20 which occurred on August 15, 2008 with Peak Dollar
GLD:EFA ... Gold is better than world stocks GLD:EFA is seen rising from a value of 1.11 on July 14, 2008 I contend that Peak Currencies occurred on July 25, 2008.
GLD:TLT ... Gold is better than US Treasury bonds
GLD:DBV ... Gold is better than the world currencies
The EUR/JPY, FXE:FXY, which is the barometer of the yen carry trade, remained unchanged at 1.621.
The US Government Treasury Bonds, TLT, manifested a bearish lollipop hanging man candlestick suggesting a possible imminent fall and a rise in US Treasury rates.
The gold ETF, GLD, shows a gravestone doji indicating the price of gold could actually fall some; and overtime, gold could fall easily again to its August 15, 2008, $790 value, as the the BabyPips.com chart of EUR/USD from article Pick of the Day, shows a gravestone doji, indicating a weakening of the Euro, FXE, may be at hand.
Neverthelsss, the result of August 21, 2008 trading is clear, cogent and convincing: given that Peak Dollar and Peak Currencies have passed, gold is now the defacto world currency and the means and measure to garner and accumulate wealth.
Because of multiple systemic risk event potentialities, I recommend that one invest 1/3 of one's wealth in SKF in a trust account and not a brokerage account; and 1/3 in BullionVault.com and 1/3 in GoldMoney.com.
My investment portfolio consists of a few gold and silver coins and 2 SKFs and 1 SEF at a deep discount broker.
Suggested Reading
Too Big To Bail Out ... Ten Financial Entities On The Brink
Trading symbols used in this report:
USO, GLD, TLT, FXE, VTI, EFA, DBV, SKF, FXY
The yen carry traders sold the USD/JPY driving it down from 110.70 To 108.83, causing the US Dollar, $USD, to fall to 76.11 and gold to rise to $839 and oil, USO, to rise to 98.21.
The PFXGlobal chart of USD/JPY shows it has fallen to the edge of a massive ascending wedge going back to March 18, 2008, when the Fed announced the bailout of JPMorgan and the provision of TAF, TSLF, and PDCF facilities.
Thus we have confirmation that Friday August 15, 2008, was Peak Dollar
Peak Currencies occurred on July 25, 2008, when all the commodity currencies took a massive fall lower.
Gold has now arisen as sovereign over all currencies; and gold is now the measure and means of garnering and preserving wealth which is best seen in the once again rising ratios of gold to fiat measures of wealth.
GLD:VTI ... Gold is better than US Stocks GLD:VTI is seen rising from a value of 1.20 which occurred on August 15, 2008 with Peak Dollar
GLD:EFA ... Gold is better than world stocks GLD:EFA is seen rising from a value of 1.11 on July 14, 2008 I contend that Peak Currencies occurred on July 25, 2008.
GLD:TLT ... Gold is better than US Treasury bonds
GLD:DBV ... Gold is better than the world currencies
The EUR/JPY, FXE:FXY, which is the barometer of the yen carry trade, remained unchanged at 1.621.
The US Government Treasury Bonds, TLT, manifested a bearish lollipop hanging man candlestick suggesting a possible imminent fall and a rise in US Treasury rates.
The gold ETF, GLD, shows a gravestone doji indicating the price of gold could actually fall some; and overtime, gold could fall easily again to its August 15, 2008, $790 value, as the the BabyPips.com chart of EUR/USD from article Pick of the Day, shows a gravestone doji, indicating a weakening of the Euro, FXE, may be at hand.
Neverthelsss, the result of August 21, 2008 trading is clear, cogent and convincing: given that Peak Dollar and Peak Currencies have passed, gold is now the defacto world currency and the means and measure to garner and accumulate wealth.
Because of multiple systemic risk event potentialities, I recommend that one invest 1/3 of one's wealth in SKF in a trust account and not a brokerage account; and 1/3 in BullionVault.com and 1/3 in GoldMoney.com.
My investment portfolio consists of a few gold and silver coins and 2 SKFs and 1 SEF at a deep discount broker.
Suggested Reading
Too Big To Bail Out ... Ten Financial Entities On The Brink
Trading symbols used in this report:
USO, GLD, TLT, FXE, VTI, EFA, DBV, SKF, FXY
WIDGETIZE