Posted Oct 28, 2013 by Martin Armstrong
QUESTION: Also as you mentioned many times japan being in a 23-26 year Depression is this sequence also a Bear Market Count ?
Your Inside is much appreciated.
Don’t worry about the Hate Mails..Been in Retail Finance and experienced the same in the early 80’s. People hated you just to mention Gold was going down.
So lose your Friends-Clients or Join them in their Foolishness. Was not an Option for me…I stood my ground. So need you.
On the OTHER HAND look at the positive …as soon as you declare a Bull Market they all will be your friends again. Human Psychology at its best.
Hope all is well
ANSWER: As long as I get the hate mail it is an indicator that gold must still decline. When the stop I bet the low will be in place for they will have lost their shirt, house, and often the wife.
Statistically, economic declines are resolved 2-3 years when left alone by government. The more people try to prevent them, the greater they are extended. The Silver Democrats caused the first “Great Depression” 1873-1896 that attempted to overvalue silver ignoring the world. The US put the ratio at 16:1. This resulted in an arbitrage opportunity and.they would bring silver to USA and returned with gold. Even in the face of bankruptcy when JP Morgan had to arrange a loan to the US Treasury of gold to prevent bankruptcy, William Jennings Bryan was the Presidential candidate and gave his fired speech how thou shalt not crucify man upon a cross of gold (meaning no gold standard).
That was the end of the Silver Democrats. They cause a major depression just as Japan and it lasted 23 years. The name was changed from Great Depression after the 1929-1932 crash and it became then known as the “Long Depression”. Looking historically at such events, they last 23 to 26 years when manipulation is involved by the government. Let the market resolve itself, it is over 2-3 years.