muses of the moment

July 5, 2011

Latest Letter from Martin Armstrong dated July 4, 2011

Filed under: Economic Confidence Model Cycle, Gold and Silver Investing, Martin Armstrong, Precious metals — Tags: — totallygroovygirlfriday @ 12:33 pm

Click here for Martin Armstrong’s latest letter entitled The Fate of Gold and Oil dated July 4, 2011 (16 pages).

This post from zerohedge and the connected report on CFTC trading, kind of confirming what Martin said in this article. Short-term day trading can skew short term trend predictions. Therefore, be careful in short-term trading. Click here.

For instance, Martin is saying we may have a breakdown in the fall, but other gold bugs are calling for higher prices later this year. Hard to know. GG is leaning towards a higher price from her look at the market last year, but is being cautious. Buying a little physical metal each month and seeing what the 6-mo trend shapes up to be.

One thing is for sure, the shadow market will trash anything…gold, dollar, Greek debt, the entire United States, to make a buck….once everyone is in. We are not in Hunt Brothers territory yet, but as Martin points out, that doesn’t mean short term correction and volatility in day trades. Things that gg is looking for closer to the final smash: 401k funds to offer gold and silver investing and investors move their money to those allocations (and fund managers talking it up), all pension funds  have at least 20% in metals, your next door neighbor has bought gold and silver and told you about it. These will be paper metals, not physical.

Groovygirl does not day trade anything, especially precious metals. She buys physical metal to hold long term. She uses shorter term trends to try to decide when to buy, but doesn’t sweat it if she is wrong. The long term trend is up, because of the coming currency collapse.


  1. Interesting piece on the manipulators potentially lining up for a meal after what has been a rather lean year (in itself giving dealers very little capacity to provide liquidity should an ‘accident’ occur) so far… this may just be in the making. Paulsons Credit Portfolio for one is outsized versus that markets liquidity and everyone knows whats in that portfolio… his equity portfolios are no better either containing a huge amount of restructured equity (we all know the liquidity profile there)… infact the SinoForest fiasco could just be the inital ingredients to the attack Armstrong alludes to… food for thought

    Comment by Latham — July 5, 2011 @ 2:37 pm

  2. This has to be one of the most interesting articles that Martin ever put out. It reads like an incredible banking thriller! I am AMAZED at how the back end of the financial world operates (Behind the Curtain … as Martin says). More now then ever, I probably believe that almost everything that happens in the world is manipulated on behalf of the banksters. Wow!

    I am sitting here right now after reading these 16 pages and it feels like a new world has just opened in front of my eyes. Most importantly, I’m think I’m now better suited to begin to “listen” to what is happening versus following ANYONEs advice (except GG’s of course!).

    I’d sure like to hear everyone elses opinions.


    Comment by mikemc — July 5, 2011 @ 2:48 pm

  3. so nothing about gold .. a history lesson of the behind the curtain crap.. what has he said that any one with a spattering of insight has not known..

    GETA and others like chapman, willie have documented this behind the scene stuff for years ,, the creature of jackal Island is a behind the curtain look at this problem.

    so if armstong says it .. then must be so,, even though the dealings of these large hedge funds , banks are legion,,, take nothing away fromn armstrongs insite // But this is mostly a ditribe about his experience and his trading powers . We learned nothing from the paulson 800 billion money grab. the trillions going to foreign banks . the bought and paid for politicians are their for any thinking person to make a honest determination of the problems ,

    the whole system is corrupt ,, i guess armstrong ( little girl) is the voice to tell the world that the emperer has no clothes///

    Any one with eyes to see do not need armwstrong to pronounce this fact. Just look ,, but until an authority figure says it then it is not important ,

    cycles of history, the golden mean , fractals are based on many ebbs and flow .

    Armstrong pronounce a turning point for the middle of june . Now he states aug will be a big turning point

    where is his look at silver short and the paper game , the manufacture of false and misleading date to sway short term markets,…

    yes a very concise look back,, less on the future of gold and oil.. other than big money flows will game the system ,


    Comment by Wm child — July 5, 2011 @ 5:19 pm

  4. I found about 3-4 items to take notes on in this essay. I started a “MARTIN ARMSTRONG, Review & Analysis” blog on blogspot, and will go back to HIS sites to check this essay out, but I think there is enuf ammo in this essay to write about, and enuf hints and clues to help me scope out some potential trades in future markets and dial in on them as they come into focus. All in All, not too bad.


    Comment by Nick Migliaccio — July 5, 2011 @ 8:20 pm

  5. Wm,

    I guess that I’m just wet behind the ears and I’m fairly new with all of this information. It’s been a 2-3 year journey for me so far and I’m trying to learn as much as I can. Sure, I knew that there is corruption and that politicians are paid off, but I personally feel like the scales are coming off of my eyes as I read a lot of this information. I’m still trying to figure out WHAT happens during Martin’s cycles. I’d personally like to use it for the betterment of my company and towards me! Still trying to figure that one out. If you have any ideas I’d like to hear them.


    Comment by mikemc — July 5, 2011 @ 8:50 pm

  6. I’m just one of the sheeple trying to wake up, but it looked to me that Mr. Armstrong was pondering on what could happen to a Hedge fund with a large gold, oil and debt position if the vultures attached. The fund would then be forced to go liquid selling it’s gold and oil.

    I appreciate how it uses history to get his reader up to par before he lays out the present situation.

    Comment by Anonymous — July 6, 2011 @ 12:41 am

  7. interesting… They attack the debt and force the sale of the sweetness…

    There are probably many groups with the same type of portfolio like Paulson. Armstrong points out the turning point and then makes an observation that these portfolios are vulnerable.

    All the traders need to know is when the next qe3 will begin and they will know how vulnerable these markets are. They have this info.

    The chinese will assume this will be the playbook — Who will buy back in first? My money is on the Chinese 🙂

    Comment by madmax — July 6, 2011 @ 11:56 pm

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