Gold rarely goes this low without testing previous
lows and trend lines. It has now gone BELOW the
MAJOR (green) UPTREND LINE drawn from 2006
through the 73980 low. It is approaching the black
bottom line of the MAJOR DOWN FLAG drawn from
the high a 1048.
gold may even go below 73890, as it often does when
testing a low, before rallying, unless gold has been so
manipulated in the paper market that it won't, or can't,
rally until everyone finally understands that PAPER AIN'T GOLD!
If Comex defaults on one ounce of gold or silver, the game is over.
The only thing that should keep us goldbugs sane, is the FACT,
that CASH PMs are scarce and have a big premium, which is a
substitution for the REAL PRICE they command.
Real Price is determined by EXCHANGE of the item at a price
that is acceptible to BOTH seller and buyer. All else is smoke and
mirrors if no one will EXCHANGE CASH GOODS at that price.
