Take a look at the chart above (click to see full chart)...source
Gold price has been keeping pace with the money supply introduced in the market. Today's price action deviated from this relationship so is a correction in gold and silver likely or will it continue upward based on a different set of fundamentals?
You can bet your sweet azz today's price action got the attention of the Fed. What are they to do? Well, what did they do the first time gold broke $1,000? They withdrew credit from the market causing a collapse of the Dow. By limiting the amount of money introduced into the system the Fed is basically pulling credit from the markets. Banks have simply been speculating with the freebies from the Fed so the result of this will be the imminent collapse of the Dow.
The strategy of course is to cause a mad dash to bonds and the dollar and take down silver and gold which will probably work since the trading lemmings and sheeple can't fathom silver and gold as money. If the Dow crashes and silver and gold hold their own, it may be the dawning of a new era we have all dreamily yet anxiously anticipated (dreaded?). The day must come when silver and gold go off on their own. What will that day look like?
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