Ed Mahmoud wrote:Based on technical analysis, based on some obscure Italian mathematician with a series based on adding the previous two numbers, 1,1,2,3,5,8,13,21,34,55..., where beyond the fourth member of the series the ratio converges between the two numbers adjacent near 0.618, that the DJIA and other major indices follow, this coming anniversary of Black Tuesday will see a blood bath on Wall Street, and stocks will take at least five years to recover to pre-crash levels. He sees a potential floor approaching 4600 for the DJIA. 400 for the S&P
Based on GE and Walmart having to pay a couple of points over LIBOR and collateralize their overnight and short term loans, and the size of the bailout and budget deficit, the federal government will crash, be unable to sell new debt, unless they collateralize government notes with a fixed quantity of Ft Knox gold.
No idea if that is correct or not, but that is what my boss thinks. He is out of the market completely, except for gold mining shares. He was about a $50,000 a year engineer for an oil company in West Texas 11 years ago, he is worth over $15 million now, so he may know what he is talking about.
Do you really think we have a substantial gold reserve remaining at Knox?