Sensationalistic Gold Propaganda Hurts the Sound Money Movement

I have long lamented the incessant click-bait, sensationalistic gold propaganda that damages the sound money movement, such as “Gold ready to explode higher any day!”  The same goes for sensationalistic silver propaganda such as headlines of “Silver ready to explode higher any day!” Such sensationalistic gold propaganda and silver propaganda have tormented the precious metals community frequently every year, even during times when gold and silver prices were in consolidation patterns, or beneath-the-surface data predicted a likely extended downturn in prices instead of a higher upturn (Editor’s Note: This article was first published on 21 May 2018 but has been updated for 16 August 2019). Bad news does not sell in the gold community, so some precious metal websites constantly publish sensationalistic gold propaganda of predictions of gold prices “going to the moon” that have close to zero chance of ever coming true within the predicted time frames. 

I have always kept hedging strategies in anticipation of large price raids, when possibilities rise of such an event, and notification of bottom price targets and notifications of reversals in prices exclusive to my clients. However, I certainly have released my share of general warnings about lower prices in opposition to sensationalistic gold propaganda that called for imminent breakouts higher on my blog and also through my various social media (skwealthacademy) channels. For example, at the time I originally published this article in May 2018, I predicted that lower gold and silver prices would develop during that time (on my now phased-out SnapChat channel), before rising prices could be sustained. In fact, even in 2019, you can find very accurate predictions of mine on this very blog, such as this article titled, “The Short-Term Outlook for Gold and Silver”, in which I called for significant pullbacks in prices in gold and silver in August 2019 that also materialized as predicted.

The unfortunate part of click-bait gold and silver headlines is that they almost never come true and they raise serious skepticism about other sound and well-supported analysis and information that such websites publish, especially regarding the manipulation of PM prices lower by pro-petrodollar, anti-gold, anti-sound money Central Bankers. Consequently, I wish that the gold community would refrain from every publishing such click-bait gold and silver price headlines, as they indisputably not only inflict massive damage to the understanding of reality and truth about gold and silver prices in the precious metals community, but they also introduce much unnecessary skepticism about other articles that promote truth (even ones that appear on the same website).

To begin, sensationalistic headlines that predict massive gold and silver price rises in a few month’s to a year’s time have almost zero beneficial impact to anyone, as exact breakout dates of gold/silver prices are notoriously difficult, if not impossible, to predict. Thus, the release of articles that gold/silver price breakouts will happen “any day” is almost guaranteed to compel wrong decisions that lead to losses by the type of naïve investors that place all their faith in such articles. Secondly, there is nothing wrong with articles that state that consolidation patterns are forming that point to higher prices in the intermediate term with no implication that a massive breakout is on its way in just days or a couple of weeks. Many click-bait gold and silver articles are clever enough to never name a specific date while implying that the breakout is just days to a couple of weeks away. And these are the ones that perpetually damage the truth movement in gold and silver to the point where one can show GATA discovered documents whereby bankers make admissions of manipulating gold prices lower, show them to a skeptic, and still have a skeptic dismiss them as rubbish.

This is the result of a brainwashing process that ex-KGB agent Yuri Bezmeanov elucidated, whereby one could drag a skeptic of government-committed atrocities to a gulag, show the skeptic dead bodies and solid evidence of these atrocities, and the result would be the skeptic claiming that the whole scene was fabricated, with dead bodies flown to the site by those that wanted to fool him into rebuking his loyalty to the State. So this is my sincere request for all those in the gold and silver community to cease writing such click-bait headlines as we need to eradicate all these type of articles if we really want to properly prepare people for the time when the bubble of everything (BOE) collapses. This is not a call to eradicate any articles whereby opinions are provided, as everyone, including yours truly, has been wrong about intermediate-term predictions in the past, as it is humanly impossible to have a 100% positive track record. However, this is a call to eradicate all articles in the gold and silver community about specific price predictions with specific dates, as those types of articles are near guaranteed to be 100% wrong, and to eradicate all articles with sensational headlines, as those types of articles are nearly 100% guaranteed to lead green investors into bad decisions. Even if one 100% believed that a higher breakout of gold/silver prices is “imminent” within days, a better way to write such articles to protect against the possibility of such events not materializing, as is the case almost all the time, is to caution against excessive optimism until the breakout has been confirmed.

And in response to the wave of imminently higher gold and silver prices that flooded the internet in Q1/Q2 2018, here is the exact, unredacted warning I stated in this article that I orginally published a year and a half ago on 21 May 2018:

“for those positioned for an imminent breakout, my own analysis shows that there is a strong possibility for further significant falls in gold prices, which would likely drag silver prices down further as well, before the big breakout happens. Will this prediction be right? Again, this is just my opinion as of 21 May, when gold prices are at $1,290 an ounce and silver prices are $16.42 an ounce as I write this sentence.”

And for those of you that followed me on Snapchat back then, when I was regularly posting my predictions, even as silver prices rose at the end of the third week of May in contradiction to falling gold prices, my Snapchat followers know that I warned that intraday spikes higher in silver and gold prices were likely temporary, with the bottom not yet in during May of 2018.  As you can see from the char posted at the bottom of this article, my predictions of lower gold and silver prices, predictions that went against the grain of much higher predicted prices that flooded the internet back then, turned out to be correct.

In the original May 2018 article I also wrote, “You won’t find me predicting crashes to $1,200 gold or $10 silver or parabolic rises to $10,000 gold or $100 silver, because sensational predictions to the downside serve about as much purpose as sensational click-bait headlines to the upside. Besides driving traffic to the upside, they provide little to no education about the future of gold and silver prices.”

Before I end this article, I want to state that 1 100% believe that manipulation lower of gold and silver prices is real, with manipulation to the upside occasionally taking place as well, though manipulation lower is far more common.

Below, please find the gold price chart to update the original 21 May 2018 article.

gold headline propaganda of gold prices ready to explode higher

J. Kim

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