Gold Monetary Base Ratio Show Closer To A Significant Monetary Event / Commodities / Gold & Silver 2019

Previously, I have shown how we could beclose to major financial/monetary crisis. The following chart that shows theratio of gold to the monetary base was used:

Thechart shows the ratio of the gold price to the St. Louis Adjusted Monetary Baseback to 1918. That is the gold price in US dollars divided by the St. LouisAdjusted Monetary Base in billions of US dollars. (from macrotrends.com)

More details about the chart and originalcommentary here.

The bottom at point 3 is now virtuallyconfirmed and we could soon have an event similar to the 1933 gold confiscation(bankruptcy) and the 1971 announcement where the US ended the dollarconvertibility to gold (at a fixed rate).

Although both of the historic events weresignificant, they did not occur during a stock market crash or during arecession. There is a huge potential that the coming event could happen duringa major stock market crash and recession.

Therefore, the coming monetary event couldbe the cause (or at the center) of the coming crisis, whereas with the previoustwo they were as a result of an ongoing crisis, and came towards the end to“correct” the situation.

Below, is a more short-term chart of theratio of the gold price to the monetary base:

The ratio has made another breakout and islikely to go higher quickly . There is no certainty when the crisis would hit;however, it will come some time during the rally and after/during the stockmarket crash. Physical gold and silver will likely be key assets during thiscrisis.

For more on this, andsimilar analysis you are welcome to subscribe to my premium service. Ihave also recently completed a Silver Fractal Analysis Report as well as a Gold Fractal Analysis Report.

Warm regards,

Hubert

“And it shall come to pass, that whosoevershall call on the name of the Lord shall be saved”

http://hubertmoolman.wordpress.com/

You can email any comments to hubert@hgmandassociates.co.za

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