By Bob Moriarty
321Gold
After a barn-burning opening to the year in January and February, gold and gold shares settled down for a necessary correction in March. To those who claim that gold and silver are supposed to go up every single day and any day that they do not is solid proof of manipulation, I say rubbish. All markets go up and down. Corrections are just as much part of the system as advances.
If you think gold and silver only have one dimension, reach into your pocket and hand me a one-sided coin. If you believe manipulation is the most important factor in price, you also are saying you do not believe in the laws of supply and demand. Go back to school, the reasons the rules of supply and demand are called “laws” is that they are laws. Even passed by Congress.
Guys smarter than me including Steve Saville and Tom McClellan are looking for a major bottom in the metals in the June-August time frame. I myself see a lot of signs of topping action in the major markets going on right now. Sell in May and go away certainly looks like a good bet this year in the Dow and S&P. When they top, the next big thing is going to be the metals. I don’t look at cheap gold or silver as a problem, I look at it as an opportunity. If you buy cheap and sell dear, you will make money. If you insist on standing on tall hills and howling into the air about manipulation at every full moon, you are going to lose all your money.