Gold’s “Death Cross”, The Audacity Of Silver Stackers, And The Cartel: Mad & Vengeful, Or Down For The Count?

For the sake of the so-called “silver squeeze”, investors better hope the charts actually matter this time, and that the Cartel is stark raving mad…

(by Half Dollar) If you were looking for some pats on the back, maybe a high-five, a fist-rocking chanting of “silver squeeze, silver squeeze, silver squeeze”, and perhaps even a stinkin’ participation trophy, well, what can I say?

Get over it.

The challenges have barely begun, and this week was a freebie, so use this time wisely.

And get over it fast!

Because in case you didn’t realize, things are about to get quite chaotic in America, and then it will spread out to the rest of the world, because let’s face it, the crack-up boom on Main Street and global US dollar hyperinflation are not going to be like playing a game of hot potato.

I mean, I guess it could be like playing a game of hot potato, only, it’s not a really a potato, but rather, it’s a stick of weapons-grade, thermonuclear-tipped dynamite, and it’s not really that it’s hot either, but rather, the fuse has been lit and it’s burning really, really fast.

Allow me to explain: In January, Uncle Donnie gave eligible American taxpayers some free money, Uncle Sam is set to begin issuing tax year 2020 income tax refunds this very month of February, and next month, in March, well, Nancy Pelosi is determined Uncle Joe’s free money will be ready for handing out come the Ides.

Holy guacamole!

It sure is nice we can just whip up money and use it to pay for anything we need and a whole heck of a lot of what we want!

For those following along with the math, or the calendar, or whatever, this puts us into the month of April, and what happens then, the fourth helicopter drop of free money in as many consecutive months?

Silver Bugs, Stackers and other Smart Investors: The buying frenzy is on.

This buying frenzy doesn’t just pertain to silver, either, because America is going on a shopping spree of anything and everything not nailed down, and thankfully, for now, there’s still a little bit of stuff left, but silver is the very best thing one can convert their dying fiat currency into, of course, and in my opinion, and by and large, the mainstream doesn’t even really know about silver.

Yet.

Sure, the word “silver” was in the mainstream news this week, for two whole days, but the dumbed-down, brainwashed masses are still generally oblivious to exactly what is going on here, and as such, they’re still wasting their free money on stupid stuff.

But I digress.

Any saver who is willing and able to convert their unbacked, debt-based fiat currency dependent on exponential, unsustainable growth, formally called ‘Federal Reserve Notes” and commonly called “US dollars”, into real money, gold & silver, may want to think about doing that as soon as Uncle Sam’s free money hits that bank account.

Remember how all of the famous, legendary investors were saying, “buy gold at any price”?

Um, yeah.

Kinda like that.

But wait, there’s more!

That’s right folks, and it could mean even more silver for the investor!

Since premiums on the shiny phyzz are super sky high right now, hopefully the Cartel will come in and smash down the paper price of silver one last time, especially if this is the time that we kiss the $20s goodbye, and there are no fewer than three reasons to think the Cartel may just do exactly that.

GOLD’S “DEATH CROSS”

Do charts matter?

If so, the apologist chart huggers can’t avoid the fact that death cometh:

Additionally, regarding gold’s technicals, I wouldn’t exactly say we’ve turned the corner just yet, and we can still fall a long way before being considered “oversold”.

Here’s the point: When it comes to gold & silver, most people accept the principle that when gold rises, silver overshoots and outperforms gold to the upside, and when gold falls, silver overshoots and outperforms gold to the downside, and it’s not even really a principle, but rather, the simple mechanics resulting from two very different size markets.

That said, because of gold’s impending “death cross” and gold’s overall bearish short-term technicals, it would not raise any eyebrows for the Cartel to come in and smash silver to catch down to gold:

And that would hopefully relieve some of the premium price pressure for stackers.

Of course, any relief would be very, very short term, in my opinion, because silver is in strong hands, and those hands aren’t letting it go until silver’s price reaches multiples from here, if ever.

So yeah, the cartel really is in a pickle here, and the Great North American Stacker is just one dynamic the Cartel is facing among many dynamics in the silver market right now.

A TEENAGER NO MORE?

Is the Cartel just going to let silver move into adulthood with nary a whimper?

Are we leaving the $20s behind, forever?

I am concerned with the excessive bullishness of many silver guys and gals because to many, it is a given that we’re going to blow-through the twenties and the Cartel is going to be playing catch up, and that concerns me enough that while I do think we’re soon going to leave the $20s behind, forever, I do not think the cartel is just going to let silver move without one good, final beat-down from where we are right now.

Again, look at the bright side: The US Federal government is handing out money like druken sailors, and at the very minimum, awareness of silver has been raised this week among the masses, and yes, there are some people who are still able to “wake up” in this world, so there are indeed new stackers out there who can use every little bit of cartel-induced fire sale they can get because those new silver investors may not have missed the train, but at this point, it’s standing room only!

And nearly packed!

Oh my!

Regardless, I think they’ll smash the paper price down into the teens one last time, if only for a brief, momentary spike low, and even if the smashing only serves to disconnect the physical markets from the paper markets even more, because the Cartel is mad, and it’s beaten the child for so long, and it’s beaten the teenager for so long, that the Cartel is terrified of the adult, but all the Cartel can really do now is knock silver out one last time and run.

And run they will.

Silver too.

When it gets up.

Oh my, again!

CRASHING THE STOCK MARKET TO FORCE THE SELLING

Much has been said of the massive inflows of money into the major silver ETFs.

As far as one of them goes, the Cartel is good, and the Cartel doesn’t need to worry about it, but the Cartel does need to worry about one or two other ETFs, and if that is the case, in order to prevent the purchase of a crapton of shiny phyzz, do not hold it past the Cartel for one second to not crash the stock market as cover and bring down most markets in general, and the silver “market” specifically.

This is what I’ve been calling the Cartel’s “ace up the sleeve”, and the Cartel could pull it out at any second.

And why wouldn’t they?

Because sure, the retail investor is just forced to pay higher premiums, but if all of the sudden massive tonnage is needed for the ETFs?

The Cartel can make that problem go right away by giving us the most epic crashes of epic crashes, and I think they will.

Furthermore, inflation is running hot right now, so the Cartel needs to bring the markets down one last time to cool off the rampant inflation that we see all around us, because the Fed and the Federal government keep claiming there’s no inflation, but really, the gig is almost up, and soon, prices are going to go ballistic on everything, and it will be obvious to all.

Right now, it’s obliviousness to all:

And those who can’t wake up will find their wealth obliterated.

Keeping “wealth” in a rising stock market does nothing:

Especially if those “winnings” can’t be turned into something real like, oh, say, dinner?

Of course, if the Cartel brings down the market to take down silver, that “wealth” may be obliterated sooner than later.

Gas prices look like they’re going to soon start to hurt a little:

Everything is going up in price!

Which is why I feel that for the Cartel, it’s now or never to have one last chance at reigning the entire financial system in.

Copper surged to close the week:

Copper is up almost 3% since the start of the year, but if the consolidation is over, it’s about to be up big-time.

See the common theme here?

The Fed and the Federal government are on the verge of losing the narrative on the economy and the markets, and it’s not really giving them a good feeling inside.

And again, it bears repeating, because it is important: They’re not angry, they’re mad.

And now, trapped.

Oh my, again, again!

Palladium continues to mark time in its sideways choppy channel:

As expected.

Somebody is sweating platinum hitting $1150:

The Cartel has been there for whoever it is, but pretty soon, the Cartel will have to let platinum go because there are about to be a gazillion other problems on the Cartel’s hands.

My downside target is a 19-handle, or possibly even an 18-handle:

Yes, that would be dramatic move, but all things considered, why would it not be a dramatic move?

OK, “Hey Half Dollar, if silver doesn’t crash like you think it will, what will get you to turn bullish in the short-term again?”.

Good question, and it would take a lot of Silver Bugs, Stackers, and other Smart Investors coming back down to earth from their pie-in-the-sky expectations of a skyrocketing silver price and instant riches.

It’s not that easy, for silver is the one single thing the Cartel fears more than anything in the entire world, because silver is the power of the people.

And it’s good to see the people finally starting to get it!

A major, massive stock market crash would get interest rates back in line:

But getting interest rates back in line will only speed up the US dollar’s demise.

Of course, if all of this plays out like I think it will, that means one last really good ramping of the US dollar index:

But I don’t mean back up to 100, either.

More like 95.

Of course, any strength here is a gift, because after that, the game of hot potato begins, and not only does everybody get to play, but everybody will play, like it or not!

Thanks for reading,

Paul “Half Dollar” Eberhart