there's something coming and this is just the very beginning of it a week ago i made a video in which i talked about who would be the buyers of gold and silver that will drive it to astronomical levels and i talked about the uh the the millennials coming in on things like the robin hood app and buying and stuff but they jump in and out uh and generally are the ones that will end up with losses but here we have the other end of the stick i talked about uh pension funds and and the various types of funds and big


smart money uh that was on monday and then on friday uh it was revealed that warren buffett's berkshire hathaway snapped up barrick gold in the second quarter and sold goldman sachs they sold their whole position in goldman sachs but they also reduced their position in wells fargo and jp morgan chase so they're seeing a potential problem in the banking sector and they're getting out of there and they're getting into gold but the amount that they put into gold uh it's it says a position valued at 563.5


million at the end of the quarter so half a billion dollars um and what's going to happen is as these pullbacks happen you know gold and silver is a reverse roller coaster i'll get uh to that uh in in a little while but it's going to have all of these uh bumps and dips on the way up but this big smart money is basically putting a floor under it on the dips you know they're going to be dollar cost averaging in nobody's going to come in with a hundred billion dollars into gold


tomorrow but this is half a billion right here uh that they came up with and it's a very very small percentage if you take a look at berkshire hathaway's allocation they're heavily into apple and bank of america which i imagine they will be reducing soon and a lot of that will be flowing into some of the mining companies you know years ago warren buffett had the very the largest position in silver it was 129 million ounces of silver uh and then sold it uh i would imagine that they but they


didn't keep track of it here it was covered in petty cash 129 million ounces out of their petty cash but here we have 202 billion dollars is the total allocation of all of their positions and you see barrick gold right here at 0.28 percent of their portfolio and this was half a billion dollars so it's they're probably going to there you're going to see in the in every one of these reports you know what's interesting is warren buffett used to call gold a pet rock you dig it up and refine it turn it into


you know you dig up these rocks refine it turn it into a pure rock and then you sell it to somebody who's going to bury it in a vault somewhere and so it was he called it nothing but a pet rock it doesn't generate income or interest and here he is investing in barrick gold so he's investing in pet rocks in the ground so there is really there's something coming and this is just the very beginning of it but what's going to happen is on the way up there's going to be a higher and higher


floor set uh under gold and silver it's going to be a roller coaster like i said now go get my book it's free gotta give that a pitch but you know roller coasters typically uh they haul you up to the very highest point and then you're just freewheeling and each one of the peaks is lower and lower and lower and the uh pullbacks the dips between the peaks are not as dramatic and then eventually you end up like at the lowest spot and come to a stop gold and silver reverse roller coaster


we've just been through i mean if you think this pullback was dramatic there's going to be something out there in the future that's really going to be breathtaking and the trick will be to keep on this and what i'm doing is i'm watching uh certain things like the dow gold ratio the ratio of uh gold to base currency in circulation the gold price to base currency and circulation the amount of gold at the u.s treasury times the price compared to currency and circulation compared to m2


compared to base currency and then one day the smart money will start getting out so it's this reverse roller coaster gold and silver will go into a peak one day and the smart money will get out and the dumb money that all comes in because the people that come in right here those are the people like in 1980 those were the people that in january of 1980 started lining up at coin shops and bought gold at 850 and then wrote it for years down to you know eventually 250 in the year 2000 and so the same thing will happen again


the people that you know it's not you uh it's the you're the people that are listening now before the smart money the big money gets in and uh uh when the public the unaware public just wakes up when people are just rushing into gold and silver and they get in line and they buy then the smart money is going to sell and there's going to be what's called a you know in the stock market it's usually a distribution dome with gold and silver their opposite they because they are where people run to


when everybody is panicked they tend to have very sharp peaks and rounded bottoms the stock market has v bounce sharp bottoms and rounded tops and so the stock market develops a distribution dome but right on the way up the people that are going to be selling to the panicked public that's rushing in right at the very end is this smart money and then it'll take this enormous plunge afterwards and uh the people that that weren't aware and didn't get prepared they're going to end up holding the bag


so i'm going to talk about the commitment of traders again and what is interesting is that during this big run up here that we saw over the past few weeks before the pullback this big run up they didn't get more short they were reticent to increase their short positions all they want to do now i think is on this pullback especially if it goes a little deeper they're going to be covering these shorts and getting ready to let gold and silver run this is this uh that's the that's gold and here's the silver uh


commitment of traders report and they were actually uh covering from the lower levels of just a tiny bit uh these the the big bullion banks here the commercials they're getting slaughtered and they're losing billions and so this pullback they're going to be using this uh to cover their positions like i said you know they come out they know what all of the positions are on tuesday but they don't release the information to the public until friday they keep it confidential i suppose uh the insiders


are the people that get to use this information so that's the commitment of traders but look for this on on this friday the next report will be out and this will be covered a lot more now i was looking at gold and silver here doing some technical analysis and what i've put up here this is uh the rsi indicator that uh shows whether uh gold or whether something is overbought or oversold and it was way overbought and due for a correction and it's getting that correction and now it's


back into the middle range here where it can run either direction so it could go up it could go down the red lines here are called bollinger bands and when the price action goes one way the bulleter bollinger band expands to the opposite direction also and so it sort of predicts you can see the price action was pushing it was outside the bollinger band pushing this wider and this got wider and then when things stabilized it tightens up but it very often um you know when it bounces back it comes back to the other


side of the bollinger band so during this pullback it could come back to the other side of the bollinger band but it's not going to you know drop all the way down here the bollinger band is going to be meeting to rise it now this is the 50-day moving average the blue line the red lines are the bollinger bands blue line is the 50-day moving average and watch what happens when i put a trend line in here that goes under this now the 50-day incorporates a bunch of days of this lower price information as the 50 day as


we go forward we add a day to this end and drop a day off of this end and we do that every day and so that 50-day moving average will be rising to meet this trend line and the bollinger band unless we push up above it is going to continue pinching and so this is something i call like a triple magnet now another thing we can do is we can put fibonacci retracements on here and see what it is predicting we go from the the trading range there to a high and what you're seeing here is that the 61.8 retracement is converging


with the trend line the 50-day moving average and the bollinger band so now we've got a quadruple magnet if i use this level we have the 50 retracement and if i use this level uh out a few weeks from now or a month from now we would have the these the 50-day the bollinger band the trend line will be up at the 38.2 retracement uh so and that is uh 2260 it says this one on the 50 is saying 2207. this one is saying uh it you know if it happens sooner if it if it takes a big drop uh 2196 however


these big boys these big companies that are coming in the big funds the smart money they're going to be setting a floor under it each time so once it does this roller coaster pull back you know it's up to the next highest peak and rollover so we're in for quite a ride here uh i hope you're all taking this ride along with me i don't give any recommendations all i do is i report on what i see and i tell you what i'm doing i want to thank you for watching this if you got anything from it please like it


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