In the aftermath of The Fed shocking the market by failing to taper QE Wednesday, igniting a $2 rally in silver and $75 in gold, legendary gold trader Jim Sinclair has sent subscribers an email alert titled Reasons to Sell Your Gold, destroying 12 false MOPE arguments against gold.
Sinclair states that as a result of the market realizing that QE is going to infinity, gold will NOW return to and exceed its all-time high of $1915, gold shares NOW enter into a new bull market, and NOW those short gold and the shares receive the spiritual experience they deserve.
Sinclair’s MUST READ alert on gold is below:
From Jim Sinclair:
“QE to Infinity.” Infinity defined as the low .7000 on the USDX.
Every reason for gold’s decline from $1900 so accepted by the talking heads has gone SPLAT!
1. Sell gold because the dollar is strong. Yeah, on the downside.
2. Sell gold because the Euro is weak. It looks like the euro is going to be wearing its necklace of gold valued in the market in the 1.40s.
3. Sell gold because the US central bank is going to taper, which means tighten. That turned out to be totally foolish.
4. Sell gold because the US economy is going to improve. Yes, it is improving on the downside.
5. Sell gold because the stock market is going to break and take gold with it. Break to the upside is more like it as has all stock markets in similar liquidity situations.
6. Sell gold because the bond market is going to break wide open and take gold with it. Right now 10 year bonds look more like 2% or less than the 4% all the talking heads were predicting.
7. Now gold returns and exceeds its old high.
8. Now good gold shares put on bull markets.
9. Now the shorts in gold who were fat, happy and uncaring will pay the paper for the hubris.
10. Now the gold shorts in good gold company shares that are complacent in their positions will get the spiritual experience they well deserve.
11. Now the bull market in gold is far from over.
12. Now it is clear that those in the community that verballly hammered gold with their sub $1000 predictions in their writings repeatedly tried to help it lower. Now to the dickens with them.