Long equity, *short US Dollar* is Bernanke Zimbabwe's bailout trade

Today gold is over $1200 already.

The dollar can reverse short-term but long term it's going much much lower. Next year we could have a brief pause in dollar slide (to prevent disorderly decline) but any bounce in the dollar is meant to be sold and the trend does not change.

Other than physical gold, I'm going to start stocking up food. Food prices are set to go higher in the next 2-3 years.

Someone passed me a good reading material today:

http://research.stlouisfed.org/publications/review/06/07/Kotlikoff.pdf
 
Quote from option_trad3r:

Other than physical gold, I'm going to start stocking up food. Food prices are set to go higher in the next 2-3 years.
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YEs. I agree..
.. what all can I store. RICE i know for sure.. for 5-10 years. what else. can u store for long ? he he. canned food. I dont like it..

i think buying land or some stake in some agricultural venture where u get produce would pay off big time in the long run..
 
Quote from darwin666:

YEs. I agree..
.. what all can I store. RICE i know for sure.. for 5-10 years. what else. can u store for long ? he he. canned food. I dont like it..

i think buying land or some stake in some agricultural venture where u get produce would pay off big time in the long run..
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Better learn how to can food, guy. Beans and rice will drive your body NUTS in a short period...
 
Quote from trefoil:

I'd short GDX, which is basically a leveraged play on gold. Gold will crack bigtime on a nice dollar rally, and GDX will go in that direction at least twice as much. Both are more volatile and therefore more profitable, if you get it right, than the dollar, and GDX is actually more volatile than TBT.
Of course, also more dangerous if you're wrong too.
Personally, I think everything will be flat more or less until EOY. No one's expecting sideways.
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lol....ughhh
 
Just a friendly reminder *NOT* to buy those ETFs as a long term investment. For short-term trading it's okay. Physical goods (real gold, platinum, silver, etc) are the only hedge against further dollar devaluation.

It is no secret that JP Morgan holds a huge short position in silver too.

These gold & silver ETFs are nothing but paper. They know this moment is coming and they're trying to lure in as many people as possible to buy these junk stock certificates.

I believe the US equity market is close to topping now.

Quote from option_trad3r:

Bernanke is not out of ammo yet. He's got a variety of tools.

Fundamental does not support dollar at the current level. But the noise is getting louder, especially with people like Jim Rogers, Peter Schiff, Soros, etc on TV saying things about the dollar. When you have too many people on one side, they'll tip it over. They will jawbone it and you can bet they will be successful, even if it's only temporary. This is necessary to prevent "Argentina"-like inorderly devaluation. When the US Dollar permabulls come out of hiding, that will be the chance to get out of the US Dollar :p

And oh .. forget about those paper gold/silver ETF. In fact, that's one of Fed's tools. Better get some physical gold. :)
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