31 January 2014

CelticGold Financial Strategies 2014

Executive Summary - find an in-depth explanation below:

* Gold is expected to move sideways in the range of $1,100 to $1,300 in 2014.
* Physical demand will remain strong; China may import 2,600 tons of gold in 2014.
* Trust Crisis to deepen in global fiat-currencies. Two more steps towards the end of gold price manipulation; BRICS countries bypass Dollar as global reserve currency and physical gold exchanges * reflect the real value of gold.
* Long term price targets for gold $10,000/oz and silver $500/oz confirmed.
* Education 2.0 and the CelticGold Education Quest. We will do more free gold talks and offer a guided tour through the most fascinating money museum in Frankfurt. Gold for Cash sales (not Cash for Gold) in Germany in April.
* The year 2014 will be the year of gaining an advantage by aquiring basic skills as well as technological and spiritual skills.
* Gold and Silver provide an excellent buying opportunity - Gold bugs stock up in 2014. New middle class investors will come into the market.
* The big currency reset guaranteed to come but not in 2014.

We have published most of the 2014 predictions by the expert traders and financial writers in the Gold University on our website www.celticgold.eu in the last three weeks.

Below you find the CelticGold view on the markets. We keep it short, to the point and inlcude sources that support our view. The sources are listed at the end of the article and in brackets.

Gold and Silver Market in 2014

Goldchart 2013

Gold dropped 28.8% and silver dropped 36.8% from 1.1.2013 to 1.1.2014. It was one of the most challenging years for gold investors. Luckily most CelticGold customers kept their positions.

Here are the 2014 price and trend forecasts from the different traders:

Big Banks: Gold to be traded on average $1,209 (1)

More on banks (2):

Commerzbank: Boom in gold this year. $1,400 at the end of 2014

Societe Generale: Gold will top $10,000 (but didn‘t say when)

Citibank: Gold could head to $3,500

More from financial experts (2):

Marc Faber: Bottom in gold reached.

Brent Johnson: $5,000 in a number of years

Jim Rogers: Gold has got to be a good place to be.

Rob McEwen: $5,000 for gold someday

CelticGold sees gold trading in a range between $1,100 and $1,300 per ounce. The market sees strong physical demand but the paper market still trades 60 paper ounces to 1 real ounce.

We wrote quite a bit about gold manipulation and how the price manipulation has developed historically. (3), (4), (5)

Today‘s game is called High Frequency Trading with computers programmed to execute buy and sell orders in a fraction of a second.

Our main saying for 2014 is: As long as there is no „big gig“ - a macro economic event that triggers the next massive crisis gold prices will trade in the range between $1,100 and $1,300 per ounce.

Trust Crisis may trigger Hyperinflation

All currencies are backed by nothing more than a promise, therefore the perceived value of a currency comes and goes with the trust people and governments put into it.

Hyperinflation can only occur in fiat-currencies when the trust diminishes. The process of
waning trust is usually started when a country prints money to re-finance debt.

US National debt
(Chart 1: US Debt)

The US Fed has printed 100 years of monetary supply in just one year. Pushing the national debt above $16 Trillion. (6)

Printing more currency to roll-over debt is what we undoubtedly see.

The developments that will accelerate the trust crisis are:

- Physical bullion exchange in Singapore (7)
- BRICS states set up a joint bank in the lines of the World Bank (8)
- Chinese buy real estate and gold to reduce their foreign exchange reserves into hard assets (9)
- Manipulation and fraud scandal by banks hit the mainstream news. Banks will pay penalties and manipulation comes to an end. (10), (11)

Until the above happens...
Main Stream Media Messages and Consumption

In the beginning of 2014 the World Bank announced 3.5% annual global growth for the next three years including 2016 (12), (13). Two weeks later the prognosis have started to wobble because of the unsatisfying unemployment data.

The main stream media is busy offering lots of distractions and best deals such as what is the best cosmetic surgery. „Treat yourself - you deserve it“ with our lovely Sunday roast for only 5.99, where‘s the next bargain burger in the fast food restaurant and where should I go for holiday; one week ultra-all inclusive starting from just 159 Euro.

When is next Ipad and Iphone coming out and why I should post my last toilet visit to facebook.

Phones can fall easily into the toilet(The danger of posting too much private stuff. There's a real market out there selling waterproof shells to smart phone owners.)


There‘s nothing wrong with advertising but the world does not speak about any real problems in the global economy and the possible dangers coming up.

When you watch the news you will see that there are around 3 to 5 messages that are repeated over a period of 6 hours. It almost looks as there is nothing else happening in the world.

The main stream media dismissed the record gold purchases and real estate purchases from the Chinese almost entirely in 2013.

With public viewing  - meaning a telly screen whereever you are - people are brainwashed these 3 to 5 daily news items to make sure you absolutely do not miss these messages when you go about and do your daily shopping. The underlying message is: Don‘t ask any questions and consume.

The point is that the average person is not informed about what is really going on. And as we said above it‘s all about perception when it comes to trusting a currency.

As long as the people are not informed; there‘s no real trend starting that helps people to take adequate action - whatever this action may be. The perception is that the currency we call money still buys you something. The mass doesn‘t know or recognize that there are deep rooted economic problems.

This is why we say as long as there is no „big-gig“ a macro economic event gold will trade in the range of $1,100 to $1,300.

The Dangers of Debt

This of course leads us to repeat the dangers of debt. Consumption debt is seriously deadly; it can destroy you.

A mortgage is fine as long as you have a good income AND physical gold and silver holdings.

Try to get a guaranteed interest rate for 10 to 15 years. I know it‘s not possible in many countries or the bank charges you 8% or more, like in Ireland.

Portugal offers 100% financing on flats at around 5-6% fix for a couple of years. It‘s vital to understand that interest rates start to rise sharply when trust goes out of a currency. Remember when trust goes out of a currency hyper-inflation starts.

People that have fixed rates on mortgages for several years may get charged an „inflation adjustment“ so that the bank will not loose any money. Consumption debt can get called in or adjusted. As said debt can wipe you out financially.

The message for 2014 is to reduce overall debt or back debt up by physical gold and silver. But never buy gold and silver with debt. This is a highly speculative gamble and may not benefit you.

Once again we look at the historical pattern to refresh our understanding of the recipe for currency devaluation and then we rock-up to the next level in Education 2.0.

Currency Devaluation and Gold: The Big Picture in Historical Context

The most fantastic news is that the correction in gold price allows a lot of new investors to come into the market and safeguard their wealth.

The middle class and retired are continously robbed of their wealth. It‘s like a continous outflow of their money by rising energy and food prices. The cost of living is not deflationary but wages are.

Printing money = QE allows bubbles to occur unpredictedly and burst as well. The next bubble are for sure the stock and bond market.

Getting the timing right on the short term is impossible and the most investors move into the market at the wrong time when prices are too high

This is the very reason why we keep saying: Buy and hold physical gold and silver.

It is the safest investment and strategy for now.

The historical pattern of currency creation and destruction:

Creation of fiat-currency -> rising monetary supply -> rising inflation -> Central Bank tries to fix things and makes it worse -> more currency creation -> more bubbles and bursts -> lead to trust crisis -> leads to destruction of value -> usually leads to hyperinflation. (See Chart 1 again)

This is what history teaches us and this is what we see currently. The process of the currency devaluation speeds up at the end of the above cycle.

Historically gold and Silver owners make the most out of the situation.

There are huge gains to be made and it doesn‘t matter if you have bought at $1,800 or $1,200. The gain for gold owners was 1,438% in the last monetary reform in Germany. (14)

The above outlined historical pattern of currency creation and destruction has happened all the time throughout history. To zoom out of the daily market grind and see the big historical picture is calming. As paper-assets become worthless the current phase allows all investors that feel a pull towards gold and silver this year to buy in at decent prices.

The more people own physical gold and silver the safer people are when ATM‘s run out of money and governments bail-in savings.

The more people who own physical gold and silver the more powerful the middle class will be and the less insanity marches down the streets. It‘s almost a guaranty for peace.

So we welcome these price levels and we hope that gold and silver will move sideways this year as there are more and more individuals that are pulled towards gold and silver.

We wrote out the concepts in the „Financial Crisis Manouvres Series“ last year and the main message was to reduce the tax bill, remove fear and become strong. This leads us to:

Education 2.0 - The CelticGold Education Quest

CelticGold will continue to offer free gold talks around Europe.

We will do a few free gold talks in Portugal in February and March. In April we will offer to book a visit to the German Monetary museum in Frankfurt. For people who come we will sell gold for cash (not Cash for Gold) and offer private appointments at our high security vault in Frankfurt.


CelticGold Education Quest

Let‘s dive into what Education 2.0 means:

Most gold investors that have educated themselves are dis-heartened at the gold price. In the last two years gold moved from undervalued to even more undervalued.

What we noticed by talking to a lot of people is that the scenarios of what they thought would happen in 2013 did not come true. This is of course disappointing at this moment in time.

Disappointment doesn‘t mean that the underlying fundamentals are wrong. So we would like to suggest that you take advantage of this brilliant situation that is being presented.

Stock-up on your gold and silver inventory with small purchases over a designated period of time


Educate yourself to the next level. We call it Education 2.0. The main focus of Education 2.0 is to:

keep removing fear and
create value.

Remember fear comes from the unknown. So by educating yourself and being prepared you remove fear. And as always we need to balance. So by over-educating we develop an uneasiness because there‘s always something we don‘t know. This means take your time and learn what you love to do.

We view the trend in Education 2.0 in three areas:

  1. Basic Skills - How to grow carrots kinda things and
  2. Internet and Web Skills
  3. Spiritual Training and Understanding

Let‘s have a short discussion on the three main areas:

Learning basic skills ground you but unless you grow 200 tons of carrots per year you won‘t make a living out of knowing basic skills.

Knowing how to do the basic things helps to remove fear. Plus it‘s nice to have some lovely herbs growing on the window sill and see the garden blooming.

The Internet is the fastest growing market on the globe and individuals as well as small businesses can easily develop knowledge in this area. The main idea for both individuals and business owners is to make services, products and knowlegde globally available in the internet. This way you access a massive market place.

We need to take advantage of this technology as the current business models are less relevant than they used to be. I‘m sure as a business owner you agree that increasing the revenue stream is good tactics.

The motto is: Every business can become a global business.

To balance the hyperspace with trillions of electronic digits and the real world we would like to suggest to everyone to learn basic skills as that grounds and balances you.

One can easily go lost in the electronic universe called internet.

It is time to go out and create value for other people and ourselves with your knowledge that you have gained. And you will find more like-minded people. Out with old - in with the new. The last and third area seems out of context but it is something we observed in the last year when talking to people.

Spiritual training and Understanding

For whatever reasons most of the gold and silver investors seem to be drawn to gain spiritual understanding and training. If this „resonates“ with you than you may want to take a short cut. There‘s people out there that can show you the „hidden“ door.

Check out this website and contact Tom, he knows all about it. I know him for years and his seminars and retreats are top-notch: www.thehiddendoorway.com


The Hidden Doorway - Life Changing Events

When it comes to spiritual training and understanding everyone needs to do whatever he or she feels is right for themself. We don‘t say: „Do this!“ and we don‘t say: „By all means stay away from it!“.

It is simply that we observe when people talk to us about these things and I‘m a friend of functioning shortcuts. Bring a concept from thinking about it into practical application and see if it works. Ditch what doesn‘t work. Keep what works.

If this sounds right to you then go for the experience; the money spent will return three-fold.

It removes the gap between the illusion and real experience. „Lovely stuff“ as the Irish say.


Markets are expected to move sideways; the long term trend is confirmed and we see the signs of hyperinflation long term.

Stock up on gold and silver and keep educating yourself, get to know things. Go out and create value for your fellow brothers and sisters and your family.

Be good to yourself. Smile, or better yet grin. It‘s all developing in the right direction.

We wish you a solid continuation of good fortune and prosperity.


Author: celticgold.eu

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