Eric De Groot

The market is barking out a clear message, but few seem to be listening. Gold to Silver Ratio (GSR): Source:Gold to Silver Ratio (GSR)

The function would be defined as QE(n) for those familiar with the nomenclature of calculus. The US Federal Reserve may have no choice but to introduce a third round of quantitative easing, or QE3, in light of the significant headwinds facing the global economy as well as problems at home, Stephen Pope, Managing Partner at … Continue reading

The inability of governments to pay their obligations in constant dollars, also recognized as inflation by the public and ongoing default by capital, has been occurring since 1934. It certainly intensified in 1971. The secular gold trend suggests that 1971 was simply the dress rehearsal for a bigger show taking place right now. As a … Continue reading

BNN talks to one of the world’s leading investor’s and investment strategists Eric Sprott, CEO of Sprott Asset Management and finds out just how precious the metals are. Video: watch.bnn.ca : The Street : March 1, 2011 : Silver is Money The 2003-2011 linear trading channel has been broken to the upside. This increases the … Continue reading

How many years will it take for the Great Recession to be recognized as another depression by excessive debt? It is certain to be long after that fact. Clearly, the media coverage of the financial woes and the social consequences of the solutions proposed to solve them are not limited to the Midwest. Budget shortfalls … Continue reading

Controlled markets in which price does not equilibrate supply and demand are often characterized by shortages. When this happens in gold market, it’s called “tightness” rather than shortages. It sounds better. The tightness in gold is revealed by the growing spread between physical and paper gold. This is revealed in the chart below. The tightness … Continue reading

The entrance of Carlos Slim into the market will not alter the strength of a trend that showed signs of accelerating in early 2010. The entrance of big names and money, however, will add to the drama on both sides of the trade as 2012 approaches. Headline: Is the World’s Richest Man Getting Into Silver? … Continue reading

Do you think the Fed’s decision to move ahead with QE2, despite the strengthening economy rhetoric, was coincidence with the rollover in the “the Formula” and “Leading Formula” in November? Don’t think so. When the formula rolls over, it begins to feed on itself as described by Jim. Identification of the real secular trends shows the … Continue reading

A clean break of the 2007-2009 up trend in November would bring the 1998 and 2007 lows into place. The quickness of these tests will likely surprise the herd (the masses). For a further discussion on GSR analysis, please read Gold to Silver Ratio Speaking Loud and Clear. Gold to Silver Ratio (GSR):

Fear that the gold shares will never again outperform gold. Doubt that management will ever realize through capital gains or dividend increases the reserves in the ground. Fear and doubt are the weapons of the gold share short sellers. As long as fear and doubt can be raised to the level of action (selling), aggressive … Continue reading