Platinum had another explosive morning, and tested its recent high of $1840. I have long said that the big bang occurs when platinum moves from $1800 to $2200. I realized this months ago. There is no resistance in between $1800 and $2200. This move will be like when silver went from $20.92 to its recent high.
With the Middle East on the brink of collapse, the move could happen at any point. I wanted the levels to be as follows before the move, but we are so close, I might have to ready the cannons.
Platinum at $1800...
Oil at $105....
Gold at $1440...
Silver at $31.
Those have been the numbers I have been calling for months. They are almost lined up. If something big happens the Trinity and oil will run for the exit. I think it will, and it could be today. If Mubarak announces he is leaving, then the Muslim Brotherhood takes over. They will jaw at the other countries to scrap the Israeli peace Treaty. This is big because Egypt has been one of the few countries to put up with Israel.
I imagine this will happen after the markets close to avoid financial turmoil, but of course it will do anything but. Futures will go haywire. There will be a rush to the coin shops. By market open Sunday, the landscape will be unimaginably different. This is why Mubarak has his gold safe in a vault far away from Egypt already.
I am going out on a limb here, but Mubarak has likely known a Friday would be the best day to step down to avoid being responsible for volatility.
Do you think it likely that the Brotherhood will take control?
ReplyDeleteThey have their work cut out for them. The people may still find a leader.
ReplyDeleteNot sure why you thought there would be a speedy departure in Egypt. Based on USA "leadership", it looks like Egypt will be a slow transition (slow burn).
ReplyDeleteWhat is your preferred trading vehicle for platinum?
Platinum bullion....
ReplyDeleteYeah, looking back, I was a little excited. Now I think we are two to three days away from the Suez being shut down due to striking workers.
The situation is so complex. Kissinger and Brzezinski are for an overthrow, The White House has no idea what it should do, and Israel NEEDS Mubarak to stay in power if they are to keep the peace. Egypt is still 'key' though.