A very long cycle term perspective on Gold and cycle ‘THEORY’: Starting in 1980 and the $850 top, 3 cycles of 7-years equals the years 2000 – 2001 and the $253 Gold low. One cycle of 7-years forwards starting in 2001 should ‘in theory’ form a top in the year 2008, well it did at $1033. The next 7-years forward from 2008 and $1033 Gold top takes us to 2015; therefore cycle ‘THEORY’ continues to indicate NEW ALL TIME HIGHS for both Gold and Silver are still possible and ‘in theory’ still expected this year, 2015!
There is only one way to achieve NEW ALL TIME HIGHS and it is called a spike.
Presently the $1072 July 2015 low is expected to hold and we will know more very soon; if it does, look out and fasten your seat-belt to some very big numbers as the long awaited Gold and Silver short squeeze expected since June 2015 could be dead ahead and soon…
Submitted by Bo Polny:
From a prophetic perspective, Solomon states “Everything Has Its Time” Ecclesiastes 3 and as referenced in last weeks update titled ‘$9000+ Gold & $1000 Silver if $1072 holds’ (LINK HERE), there exists a 2520 week clock and the last countdown began June 7, 1967 when Israeli recaptured Jerusalem and ends exactly 2520 weeks later, this September 23, 2015. September 2015 is lining up to be a very important month for our world!
With regards to the Stock Markets, our proprietary Stock Market Index marked a final top the 3rd week of July 2015 (LINK HERE to VERIFY) titled ‘Devastating Bear Market Cycle Has Begun’ and as further described in our 15-minute interview intentionally scheduled on July 20, 2015 with TruNews and host Rick Wiles. A very important time point to short the market is coming in 2015 and provided within the Stock Market Index.
Next, let’s touch on the US Dollar Cycle, the same cycle that forecast the exact top in the USD on March 15, 2015 now forecasts a potential flash crash cycle is expected very soon and in 2015, the actual proprietary cycle chart is included within our Gold Index.
And most important let’s look at the Gold Cycle: Last week we compared the 1970 – 1980 Gold cycle and the present 2001 – 2015 cycle. In 1970 – 1980 (light blue chart to the right) Gold bottomed at $35 and rose to a high of $195 in 1975, an increase in price of $160. Off the 1975 Gold top, Gold retraced $91 or 57% down to $104. After the $104 cycle low Gold went up an amazing 900%+ into a final $850 top in 1980.
Comparing the 1970 – 1980 cycle to present time 2001- 2015… As referenced in last week’s update, in 2001 Gold bottomed at $253 and rose to a high of $1923 in 2011; an increase in price of $1670 (nearly 10x that of 1975). Off the 2011 Gold top and as of July 2015, Gold has retraced $851 or 51% down to $1072. Another mini-example and comparison to the 1970 – 1980 cycle was in 2001 – 2009 when Gold rose to a high of $1033 in 2008 from $253, Gold then retraced $352 or 45% down to $681. Therefore historical precedents over the past 45-years point to a retracement in the range of 45% – 57% as healthy and normal!
Lastly, a very long cycle term perspective on Gold and cycle ‘THEORY’: Starting in 1980 and the $850 top, 3 cycles of 7-years equals the years 2000 – 2001 and the $253 Gold low referenced above. One cycle of 7-years forwards starting in 2001 should ‘in theory’ form a top in the year 2008, well it did at $1033. The next 7-years forward from 2008 and $1033 Gold top takes us to 2015; therefore cycle ‘THEORY’ continues to indicate NEW ALL TIME HIGHS for both Gold and Silver are still possible and ‘in theory’ still expected this year, 2015! There is only one way to achieve NEW ALL TIME HIGHS and it is called a spike.
UNDERSTANDING TIME vs PRICE: Using cycle TIME analysis we forecast 2 cycle lows, the first to be last November 2014 at $1130 Gold (3.5-Years or 42-months off the May 2011 Silver top) and the second low on March 15, 2015 at $1042 (3.5-Years or 42-months off the September 2011 Gold top) and both TIME points ended up as significant lows; however based on the 1970 – 1980 PRICE cycle a PRICE retracement of 50% – 57% was not yet achieved at either of these prior TIME points. TIMING pointed to November 2014 and/or March 2015 for a cycle low; while the PRICE target using the 1970-1980 cycle points to a low PRICE at or near $1077, to as low as $971. Therefore the current July 2015 low at $1072 (51% retracement) could very well be sufficient or a new low down to the $971 range (57% retracement) does NOT break the long term Gold Bull market. Will $1072 hold? We will soon find out. Especially after today’s 8/10/215 expected price reversal back up, holding of the $1072 low is looking highly probable. Worst case scenario, a 57% retracement from $1923 takes Gold down to a final low at $971, the timing points for both a possible move lower and expected 2015 spike top we include in our updated proprietary Gold Index.
Expect very big numbers for Gold and Silver with new all-time spike highs still possible in 2015. Based on history, a correction in the 45% – 57% range is normal, healthy and does not break Gold’s long term cycle. The current July 2015 low at $1072, a 51% retracement based on 45-years of Gold history is sufficient to start the next Bull Market that points to an $8000 – $10,000 Gold high in the years ahead, timing included in our Gold Index.
Presently the $1072 July 2015 low is expected to hold and we will know more very soon; if it does, look out and fasten your seatbelt to some very big numbers as the long awaited Gold and Silver short squeeze expected since June 2015 could be dead ahead and soon…
What about Armstrong’s shocking low targets of $700 (73% retracement) – $500 (85% retracement) or Harry Dent’s $700 shocking low target? Forget my opinion, let’s simply look at what history has to say about his computer model…
Since 1970 when the USD was taken off the Gold standard, 45-years of actual Gold history takes Gold to a maximum low in the $971 range with a verifiable historical precedent of a 57% retracement; his computer model forecast retracements in the range of 73% – 85% ($700 – $500 respectfully) have NEVER occurred in history EVER! Take the above historical information we provide you at no cost and make your own decision; but their price targets have ZERO historic precedents… ZERO!
Our money is on cycle THEORY, Solomon and Daniels timeline!
Our latest Interview was with Kerry Lutz at Financial Survival Network (LINK) on Monday August 3, 2015.
Regardless of all the extreme negativity to Gold and to anyone extremely Bullish Gold and Silver (especially this forum); if cycle TIMING is of interest to you, consider our newly updated proprietary Gold and/or Stock Market INDEXs, as the cycle content provided might just shock you of what is just around the corner at this critical point in TIME for both Gold and Silver!
The 70’s retracement cycle from 1975 – 1976, only 1-year, was a walk in the park in comparison to the present 4-year 2011 – 2015 retracement cycle; but after 4-years of price suppression, as the saying goes… ‘Payback is be a Bit**’ when Gold and Silver spike to new all-time highs on those short 5000-year old precious metals or newly titled ‘Pet Rock’ by main stream media!
All the best,
Legal & Disclaimer
The above represents the opinion and analysis of Mr. Polny, based on data available to him, at the time of writing. Mr. Polny’s opinions are his own, and are not a recommendation or an offer to buy or sell securities and/or commodities. Mr. Polny is an independent analyst who receives no compensation of any kind from any groups, individuals or corporations. As trading and investing in any financial markets may involve serious risk of loss, Mr. Polny recommends that you consult with a qualified investment advisor, one licensed by appropriate regulatory agencies in your legal jurisdiction and do your own due diligence and research when making any kind of a transaction with financial ramifications. Although an experienced analyst, Mr. Polny is not a Registered Securities Advisor. Therefore Mr. Polny’s opinions on the markets, stocks and commodities are his own and can not be construed as a solicitation to buy and sell securities and/or commodities.