Last Monday, I couldn't believe my eyes when I saw that the price of gold had
dropped US$44.20, which was weird enough since Kitco was showing the "Gold
Price Change due to Weakening dollar" was up by $23.00, meaning gold should be
going up thanks to the weakening dollar, while the "Gold Price Change due to
Predominant Selling" was down a whopping $67.20! Wow! Selling!
Since most of the problems with my medications regimen seem to be finally
solved, what could I do but laugh, although weakly, in a kind of dull, sedated
babble, "Hahahahahahaha!" at the sheer incongruity of it all, instead of going
off on a Manic Mogambo Tangent (MMT) of some kind, probably either about how
the Federal Reserve has destroyed the dollar by creating too many of them, or,
on a more timely topic, about what idiots the sellers of gold are.
Apparently, these market-timing geniuses have failed to
understand that that this is the Perfect Freaking Time (PFT) to buy gold,
because here they are, selling! Hahaha!
Observant Junior Mogambo Rangers (JMRs) have taken note of the fact that my
laugh is less than the usual Loud Mogambo Laugh Of Scorn (LMLOS) of story and
song, and instead is a weak, nervous, "I wish I was dead!" titter of laughter,
like the time when you came sneaking into the house or office early in the
morning or late in the afternoon, respectively, stumbling drunk, trying to be
quiet, wearing your own underwear like a weird hat for some reason that you
can't recall, and your mom, wife or boss was waiting for you.
And the reason for my lack of uproarious mirth is that something is, in a word,
weird. I mean, selling gold right now is so devoid of reason that I want to
laugh heartily at the idea and at the stupid people that got the idea to sell
gold, but I can just sit here, dumbfounded, shaking my head in disbelief and
tittering nervously.
Obviously, I am now of the "buy and hold" camp instead of the "trader" type of
person, as I have "discovered" many important things about trading stocks,
bonds, commodities and their derivatives, and by "discovered" I mean "scarred
and bloodied by slimy insiders, with still-festering open wounds and tender
scars, both emotional and financial".
And all of it could have been completely avoided if I had read Nassim Taleb's
book The Black Swan and found that the bell-curve of normal probability
is not how things really work over the long term, or if I had internalized the
related discoveries of non-linear systems ("Chaos Theory"), or if I had a wife
that had said, "Don't be an idiot! You are too stupid, too ignorant and full of
too much Bizarre Mogambo Crap (BMC) for you to ever - EVER! - succeed as a
trader of anything! Get a job and go to work, work, work!"
Instead, I made the mistake of having a real-life wife who said "Whatever you
do, I will support you and love you!" which, now that I am looking back, makes
me scream at her, "That's the most stupid thing you have ever said because you
know what a whack-job, paranoid, worthless, lazy lunatic I am! So all my
failures are your fault! Your fault! All your fault!"
However, buying gold, silver and oil in defense against the horrific inflations
in prices that will destroy us, thanks to the horrid Federal Reserve creating
too much money so that the despicable Barack Obama administration can
deficit-spend us into bankruptcy and utter destruction, is all my idea.
I got the idea from 4,500 years of historical precedents of one moronic country
after another doing this same, stupid "spending oneself into bankruptcy" thing,
all you can do is say, "Whee! This investing stuff is easy!"
Richard Daughty is general partner and COO for Smith Consultant Group,
serving the financial and medical communities, and the editor of The Mogambo
Guru economic newsletter - an avocational exercise to heap disrespect on those
who desperately deserve it.
(Republished with permission from
The Daily Reckoning. Copyright 2010, The Daily Reckoning.)
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