Although relatively few people are still around who lived through the Great Depression, something ominously similar – and perhaps even worse – is staring today's Americans in the face, regardless of who wins the U.S. presidency in November.
Whether you look at Greece, Italy and the rest of Europe – or the United States of America, where the Federal Reserve just announced another massive and open-ended round of money creation dubbed "QE3" – there's no denying what's coming: Thanks to the wildly irresponsible spending practices of most governments, the world's economic, financial and monetary system is disintegrating.
And as this great fall occurs – as currencies lose their value, as unpayable debt leads to austerity and increasing unrest, and as the savings of the great American middle class is progressively wiped out – one commodity class is growing in importance: gold and silver.
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Serving for thousands of years as the world's only real money, untouchable and un-inflatable by governments, gold and silver are expected to continue their dramatic rise well into the future.
But most WND readers already know this. The real question most people have is: What's the best time to buy and sell precious metals?
Meet Mark Leibovit, author of the Leibovit VR Gold Letter. Of all the traders, researchers and analysts in the field, few know more about the gold market than Leibovit: Timer Digest named him the No. 1 gold market timer for 2011. He was also the No. 1 gold market timer for the 5-year period ending in 2010, and the No. 1 intermediate stock market timer for the 10-year period ending 2007.
TV business news viewers also know him, since Leibovit served for seven years as a consultant "Elf" on Louis Rukeyser's "Wall Street Week" and over 30 years as a Market Monitor guest for PBS's "The Nightly Business Report." He has appeared on CNBC, Fox, Bloomberg and others, and been interviewed in Barron’s, Business Week, Forbes and The Wall Street Journal.
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Very simply, the Leibovit VR Gold Letter has been called the best and most informative gold and precious metals letter out there, covering a wide range of investment vehicles from the physical metals to exchange traded funds, futures and mining stocks. Leibovit's aim is to anticipate market volatility and market corrections and use them to help readers make money in gold and silver. After all, bullion has risen almost six-fold from a two-decade low in 1999, while the Dollar Index fell 35 percent since the end of 2001.
Less than one month ago (Aug. 24), the headline of the Leibovit VR Gold Letter read: “Thar She Blows,” confirming a new up-leg in precious metals was underway. Sure enough, on Aug. 31, the headline read “Cyclical positives for metals into 2013.”
How it works
Mark Leibovit can tell you when to buy your physical gold and silver, when to take profits, which ETFs and gold-mining shares to buy, and when to hedge against volatility. He says the truth of the action can be ascertained by studying various inflows and outflows of volume indicators and most specifically his proprietary VR Indicator.
Essentially, the Leibovit Volume Reversal (VR) Indicator tells you when buyers will become sellers and sellers will become buyers. It thereby accurately forecasts signals of trend direction and reversals in equity, metals, and futures markets.
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When the VR Indicator is positive, and volume shows reversal from selling to buying, it's a buy signal for the commodity, ETF, or stock, because the buying volume is going to drive the price higher. When the VR is negative, it's time to get out.
For three decades, the Volume Reversal Indicator has alerted traders and investors to short and midterm trends in stocks, futures and indexes as well as major market reversals. In fact, as discussed in the introduction to Leibovit's book – "The Trader's Book of Volume" (released last year by McGraw Hill) – the Volume Reversal Indicator has successfully predicted every major market downturn for over 30 years, saving investors from huge potential losses.
The VR indicator's claim to fame began back in 1987 when it predicted the ominous stock market crash nine weeks in advance. It also forecast the 2000 bear market in February of that year.
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The VR Indicator enables Leibovit to profit on volatility. While volatility gives us a chance to buy gold cheaper on the dips, or trade the declines utilizing inverse ETFs, the long-term trend for gold remains decidedly bullish.
Today Mark Leibovit's VR Indicator is blaring an alert that gold and silver prices are headed much higher long-term.
17 reasons to own gold and silver now
According to Leibovit:
- The gold market has entered a once-in-a-lifetime period of opportunity. Gold, which surged over $800 in 1980 and then tanked to the depths of $280 in 1999, is now embarking on what may be a 20-year advance which will likely carry it to as-yet-unforeseen levels – possibly as high as $11,000 an ounce and silver to $700 an ounce.
- Proportionally, the silver market price can be dramatically influenced. Any look into the history of silver prices shows that the metal can escalate quickly, often 10-20 percent in a period of just a few weeks. Since mid-August, silver prices are already up 32 percent.
- Since October 2001, silver has increased in price from approximately $4 to a recent high of $49 which is an approximate 1125 percent gain. Once we clear $49, the sky is the limit! It’s the poor man’s gold! Mark Leibovit predicts Americans will be standing on street corners to buy silver (and gold) before the ultimate top comes!/li>
- Silver has both intrinsic and industrial value. From film emulsions, to antibacterial products to circuitry, silver has literally thousands of industrial applications that help to limit the amount of physical silver in circulation. We are already holders of silver in our TV, computer and electronic equipment, batteries and car bearings. Silver is utilized in medical technology, solar energy and water purification. As technology advances, so do applications for silver.
- Gold demand has continued its rapid acceleration. According to the World Gold Council, demand in 2010-11 reached a 10-year high of 3,810 metric tons, a 10 percent increase over the previous year. The U.S. Geological Survey reports that total global gold production has been falling steadily over the past decade to just 2,350 metric tons in 2011. We question whether sovereign nations have been accurately reporting.
- Gold is still underpriced relative to inflation. Inflation-adjusted prices for gold range from $2,382 to $10,226, so at $1,922 an ounce (the Sept. 6, 2011 high), gold is not even close to reaching prior price levels.
- Gold bears have been consistently wrong. Mainstream financial media predictions of a gold bubble have not come to pass. One influential analyst at Kitco predicted gold would end 2011 at $800 an ounce … yet it ended the year at $1,405 despite an anticipated correction.
- We are drowning in debt. Government debt is skyrocketing. The national debt is now $16 trillion, more than $50,000 for every American man, woman and child. Bernanke, Obama and Draghi (European Central Bank president) are promoting dangerous policies that create only an illusion that the economy is stable. Any hope that the runaway spending of the Obama administration and other governments was a temporary “emergency,” a reaction to the 2008 credit wipeout, has been derailed. The federal budget deficit went from $160 billion in 2007, before Obama’s election, to $1.4 trillion in 2009, $1.56 trillion in 2010, and was projected to hit $1.65 trillion in 2011. The 2011 budget has the biggest one-year debt jump in history, or nearly $2 trillion, reaching $15.476 trillion – the first time since World War II that U.S. deficits hit over 100 percent of GDP.
- Do you think that is scary? That is nothing. According to data presented at the U.S. Debt Clock, U.S total debt is $55 trillion and total U.S. unfunded liabilities are $116 trillion.
- The federal government is in a mayhem printing spree, with the M2 money supply increasing 21.1 percent from June to September 2011. As the dollar devalues, investors are scrambling to buy hard assets. It took a lawsuit by Bloomberg to uncover the Fed's "Secret Liquidity." The Federal Reserve mounted an unprecedented campaign, secretly providing as much as $1.2 trillion to banks and private companies without any congressional or public approval.
- Large-scale gold buying is just beginning to make its way into mainstream "retail" financial institutions and pension programs. Five years ago, only gold "fanatics" and other "extremists" were buying gold. Today, central banks are buying again. Famed hedge-fund managers George Soros, John Paulson, Paul Tudor Jones and David Einhorn have piled into gold, gold exchange-traded funds and mining stocks.
- Gold is in the process of reemerging as an international reserve currency. As central banks around the world have engaged in massive money creation, smart money will allocate a greater percentage to gold as a "store of value."
- Gold bullion holdings amongst the world's central banks have risen to a 6-year high, according to data compiled by the International Monetary Fund. Emerging and developing nations have swollen their gold reserves 25 percent by weight since 2008. The debt-heavy West is a net seller.
- Investment overtook jewelry as the largest source of demand for the first time in three decades in 2009, according to GFMS Ltd., a London-based research company. Investor demand will climb 9.9 percent to 1,597 tons this year and another 11 percent in 2012, Morgan Stanley estimates.
- The U.S. Mint sold 85,000 ounces of American Eagle coins since May 1 as the Standard & Poor's GSCI Index of 24 raw materials fell 9.9 percent. The last time sales reached that level, bullion rose 21 percent in the next year. Gold will keep gaining in 2012, a Bloomberg survey of 31 analysts, traders and investors reports.
- Supplies of physical precious metals (especially silver) are diminishing. The time is not far off when obtaining physical delivery of the metal will be very difficult if not impossible.
- We are nowhere near a market peak. The signs you see on street corners offering to buy gold represent smart commercial buyers – not a sign of a market peak. When you later see long lines of retail buyers (some waiting overnight), then a top may be near.
A smart way to start accumulation of gold and/or silver is to buy a fixed dollar amount. Leibovit will help you optimize your entry points, noting that you can even-out the cost over time by buying more gold or silver for the same dollar amount on the dips. “Now would be a good time to start,” adds Leibovit.
However, as with any market today, the course of market moves and corrections in the precious metals can be dramatic. The Leibovit VR Gold Letter scrutinizes these dynamic forces and provides you with a broad range of options for profitable participation and diversity within the metals portion of your portfolio. Subscribers are notified by e-mail when gold and silver corrections are anticipated. Recommendations may capitalize on moves both to the up and downside.
The Leibovit VR Gold Letter includes long, mid- and short-term technical projections for gold and silver, ETFs, large and small cap mining stocks and physical precious metals. These are all explained with unique gold letter commentary and charts. Plus, a "Gold News Raw" section includes fundamental, political and economic factors that affect the gold markets.
Subscribers can take maximum advantage of the climb in gold by using Exchange Traded Funds (ETFs) for profit during upside rallies as well as during market corrections.
In addition, there is a whole array of junior and senior gold and silver mining shares that Leibovit considers, offering participation for more aggressive investors. Volatility is anticipated, and as with any adventure into the market, preparation is key.
Although a 1-year subscription to the Leibovit VR Gold Letter is normally $1,200, WND has negotiated with Mark Leibovit a phenomenally reduced subscription price exclusively for WND readers. For those first-time subscribers that order now, the VR Gold Letter will be available for only $149 for an entire year – just 41 cents a day! Here's what you get:
- Leibovit VR Gold Letter: Each monthly issue includes analysis of the gold and silver markets, gold news raw, core and aggressive portfolio update, investment recommendations regarding physical gold and silver, ETFs, mining stocks and forecasts on gold, silver, platinum, palladium and copper.
- Email Alerts: Special bulletins, as needed, to keep you up to date on market conditions, news, changes in existing positions and new investment opportunities. If the market is about to take a corrective turn, we alert you.
- Special Report: "Would You Trust These Men to Govern Our Country?" This free bonus report shows how America's current leadership resembles "The Three Stooges" when it comes to the economy, then goes on to review dozens of exchange traded funds the Leibovit VR Gold Letter monitors for market direction and profits.
- Our Money-Back Guarantee: If you are not 100 percent satisfied with the Leibovit VR Gold Letter, just let us know within 30 days for a full and prompt refund. The first issue and bonus received are yours to keep free, without further commitment or obligation of any kind. That way, you risk nothing.
PLEASE NOTE: When your Leibovit VR Gold Letter subscription is due to expire, you will receive a renewal notice from us by email. To keep the Leibovit VR Gold Letter coming, do nothing and we'll renew your subscription automatically for the very special low price of only $149 by charging your credit or debit card. There's no risk, because if you don’t wish to continue subscribing, just let us know before the renewal date and there will be no charge.
Here's the bottom line: Today, both America's and the world's economies have been devastated by decades of wild government deficit spending in pursuit of a socialist utopia. It is coming to an end. No one knows precisely how this financial disintegration will unfold or when, but it's already happening. Gold and silver are an important way to preserve and build your savings. Whether you are already holding precious metals in your portfolio or want to start, the Leibovit VR Gold Letter can help maximize your profits in them.
Disclaimer: Past performance is not indicative of future results. Actual results are directly related to a consumer's individual purchase and sale decisions. Like all investment strategies, trading in stocks, stock indexes and precious metals involves risk and volatility.