Curious what the gold price will do Monday if it has nothing to do with war
PAXG hit 3000$ an ounce as people jumped out of
crypto into on chain gold.
Having said that Gold lags by 36 weeks liquidity - so timing wise we are still firmly in its liquidity absorb phase.
Aside from volatility either way the impact of a tamed response to Israel’s actions will likely be marginal unless it continues to escalate IMHO.
I should add in a time of war you might have all the gold in the world but good luck liquidating it - as like in Argentina the banks will be forced to restrict withdrawals in to
cash and at the same time wealth is wiped away with debasement and inflation - meaning the cash that is already in the open is the only circulating cash and you’ll find it hard for anyone to want to own gold/
bitcoin etc (like found in Argentina) because they need to find someone else that wants to have it to offload to at a time they need cash to spend.
Well documented last week by George Gammon.
I.e force velocity lower - to socialize debasement (note we are already at very very low levels - last time this low 6 empires ceased to exist).
And just an FYI I trust math and science demonstrated by granger tests, opposed to Lolly pops and fairy dust or worse getting a hard on for an asset because missiles are fired in a region.
It is indisputable in math that gold follows 36 weeks the liquidity cycle - the volatility in between is localized impacts within a bigger cycle.
Up to 2020
Bottomed 2021/22/23 zone but not out of the woods yet.
Oh and gold price against velocity of money you can deduce by looking at the charts