Gold is going to $1224, $1278, $1650 and then on to Alf’s numbers.
Gold’s Swiss Stair action is dynamic, making Alf’s numbers look much better than mine.
The Swiss Stair action here is the process of governments who have entered the gold market. When governments enter COT loses.
Here is an article on how gold is going to soar by Patrick A. Heller
Perhaps the most significant news involving gold in the past week was the pattern of gold trading after last Friday’s Bureau of Labor Statistics announcement of the U.S. unemployment rate.
According to the BLS, the U-3 definition of the unemployment rate had jumped 54.5 percent in the past 12 months to 10.2 percent. This is the most commonly reported unemployment rate.
The BLS also reported that the U-6 definition of unemployment had climbed 45.8 percent from a year ago to its current level of 17.5 percent.
As those who have read my past columns understand, both of these reported figures understate U.S. unemployment. According to John Williams’ Shadow Government Statistics (www.shadowstats.com), using the BLS methodology before it was changed under President Clinton, the current U.S. unemployment rate is about 22 percent.
A poor unemployment report reflects negatively on the U.S. economy with the result that the U.S. Treasury would have to pay a higher interest rate on its debt. One way to offset the poor unemployment news would be by having the U.S. dollar show strength against the price of gold (i.e., having the price of gold drop).
