a word of caution, page-5

From a commentary which "verytricky" alerted us to:

"... James Turk is so intrigued that in this weekend's issue he considers altering his normally cautious trading style:

"I think we are very close (7-10 months) to the beginning of a hyperinflationary spiral. ... If I am right ... there obviously is an exceptional opportunity to load up (i.e., a leveraged position) by buying gold."

But Turk has his fair share of trading scars and more.

He warns: "Comex options expire this Tuesday, May 26th, and options in the much larger over-the-counter market expire a couple of days later. We all know what has happened regularly over the years on option expiry. The gold cartel slams gold."

Turk is part of a faction I call the radical gold bugs, because they watch not merely inflation but what they believe to be the authorities' manipulation of the gold price to preserve the illusion of financial stability. See Web site.

Their expectations of a gold breakout have been frustrated repeatedly.

Nevertheless, Turk adds: "One of these days (and there's at least a 50% chance now is that time), gold will just keep rising."

At
http://www.marketwatch.com/story/gold-on-verge-of-historic-breakout