pascoe-meter update, page-54

Taz,,

I'm not aggrieved at all, I've done OK, even bought and sold some gold shares a couple of years back, I've done OK out of the BT Natural Resources Fund which I've been in for about 15 years, dividends reinvested, very nice indeed, a small fortune awaits me there.

As I've pointed out to the Parrot, the DJIA is slightly ahead of gold for the last year and while the USD is down the AUD is up, so the POG in AUD terms has remained pretty much stagnant. There hasn't been much profit for many gold investors, I've seen a few here throw in the towel over the last few months.

Bubbles attract suckers and if a few people out there have become just a little more cautious then I'll be more than satisfied with my side of the debate.

The recent rout in silver caused some serious misgivings among some PM 'investors', what goes up sometimes goes down, and something I can predict for sure, when it goes down it'll go down a lot faster than it's gone up.

I don't think goldbugs are idiots, just a little naive, easily influenced you might say, you only have to read some of the posts here to determine that some think there is only one way for gold - up.

Fact is no one knows, it might or it might not, but IMHO it's a bubble, a dangerous one for those overexposed and many are.

In the recent silver rout one woman living alone in the USA said 60% of her assets were in silver, but is sure that silver will be over $100 by the end of 2011.

Too bad if it reverts to the mean, which is probably around $15, this woman may end her life in poverty.

Gold won't have to go down for 2/3 years for the bugs to give up, check out the vertical slide in 1980, it'll be all over before you know it if history repeats.

Did you know for example that during the recent silver rout, more silver was sold off in a couple of days than all the American Eagles minted last year, over 1000 tonnes?

The same might happen to gold, but on a much bigger scale.