The Real Money Show
The Real Money Show - July 18th 2015
and welcome to the real money show. The number always to start investing one eight seven seven eight silver online to guildhallwealth.com. When you're on the website, make sure you check out the East store a very easy way to begin your investment in gold and silver buoyant. Plus, I want to remind you this right away for all diamonds purchased between now and the end of August. They'll be giving you an immediate 10% off the purchase price back to you as a buyer to be placed into either gold or silver buoyant TFSA or RSP account with guild hall wealth as well. In addition to that till the end of July, you buy a purchase a 100 ounce bar of silver, you will receive a one ounce silver maple leaf as well. Jeremy, second segment and third, we got two segments coming up with a special guest, a bullion analyst named Justin Smith. We're looking forward to that, right? Yeah, it's going to be a great interview. He really knows what he's what he's talking about. And we're going to talk about the charts, talk about what you see in a gold and silver chart, what you can glean from that and what we can look forward to in this market. Cool. It's almost as good as a crystal ball. Almost. So, a couple of big things happened this week. Obviously, the first is that the Greek Prime Minister sold the Greek people upstream. They voted no and then all of a sudden he took the deal, dropped his pants and did exactly what the European Union wanted in the first place. So, they had a country's head, Jeremy? Well, they might have given him an offer. He couldn't refuse. But the fact is, is that the proverbial can did get kicked down the road and it will be interesting to see what happens from here. Of course, the euro did start to fall a little bit. The other thing is the Iran nuclear deal. It's been really interesting hearing the commentary on that. But ultimately, and this is my personal view, is that the US needs to lift those sanctions. They need to do business with countries. And so, whatever it takes to get it going, they're going to do it. So, the first headline that came up here is, "Here comes the oil glut. First Iranian oil tanker set sail with two million barrels of oil." So, that's not going to be very good for those looking at the oil price. So, maybe Canada was a step ahead in lowering the interest rate because of that. The oil price looks to not be rising anytime soon. Precious metals. Not a whole lot happen this week. Of course, not a whole lot has been happening as of late. But we're going to talk about what that means with Justin Smith. But of course, we haven't dropped any further than we've been for quite some time. And in fact, I was just putting an order through for a client recently. And year over year, gold is up in Canadian dollars. So, when you see a weakening Canadian dollar, you have to realize that gold and silver are ways to protect your wealth and put it into a store of value. And that's what gold and silver does over the long term. In the last six months, we've had more and more conversations with our clients about exchange rates. That's been a very, very big issue hot topic with people purchasing gold and silver. Gold and silver are purchased in US dollars. But ultimately, they are a safe haven currency. The US is considered a safe haven currency when Argentina's currency collapsed in the '90s. What did people want to do? They wanted to buy as many US dollars as possible to protect themselves. Now, if you're China, for instance, you already have enough US dollars. In fact, you want to get rid of the US dollars you start buying gold and silver. So, gold and silver are the alternative safe haven. They're the historical safe haven. And that's why people feel they need to have some gold and silver in their portfolio. There's only so many ways to be fully diversified in your portfolio. And when you're looking at your portfolio or thinking about your portfolio, or maybe not thinking about your portfolio, maybe you just leave it in the hands of your investment advisor. But ultimately, being diversified means having more than just a variety of paper stocks or paper bonds. It means having hard assets as well. At least, that's my belief. I know for myself, holding hard assets like gold and silver and luxury assets like colored diamonds allows me to sleep sound because as you're going to hear in this interview, that the stock market is looking very high, that that trend could be set to end. And are you secure with your portfolio for if that ends? One eight seven seven eight silver online to guildhallwealth.com. Or you might have to check out the e-store while you're there, Paul. Yeah, the interesting thing is, last week when we recorded the show, silver was trading at 1550 US. In Canadian dollars, that was 18 dollars and 77 cents. Gold was trading at 1160 and it worked out to basically 1450 Canadian. At today's rate in Canadian, silver is trading at 19 dollars and 46 cents, and gold is at 1483, which means, you know, basically silver is up 30 cents and gold is up 33 dollars. What's being traded every day in the marketplace is paper. It's not the physical product. The interesting thing is the US men has run out of silver eagles. Their production is gone. They now have to fill up the shelves and we've, and fortunate enough, I was buying silver eagles and we do have quite a lot on hand, but there is a premium right now to buy silver eagles. It's about a buck and a quarter over the regular price. So there's a shortage on the product. The US men, supposedly, is going to have some product August the 7th. But let's look at silver. Mining companies have been going basically bankrupt in gold and silver, yet the mint has to buy this product. Now, if you're buying a product for more than what you're selling it for, that's not good business. So maybe that's one of the reasons that the US men has halted production. If we look at what's been happening, you know, the hype in the marketplace, you know, China, that stock market ran up. It's a pump and dump. If anybody is out there knows what pump and dump is, they run the stock up and then they dump it. China has been a casino, absolute casino. But now, if you want to sell certain stock, you can't short stock with Chinese government said, "Uh-uh, for six months, you can't do this." Can anybody invest in that? If you look at some of the prices in the stock market in the US, it's gone crazy. I mean, stocks are trading basically at 22 times earnings, I think, right now on the S&P. Maybe it's a little less, maybe it's 19. But some stocks that are trading 300 times earnings, next year's earnings, would you buy a home at even 18 times what it's worth today? It doesn't make sense. Canada just dropped their interest rates by a quarter of a point. It actually affected the currency. Now, it's great for export, but the average Joe is not exporting. A guild hall, we only sell physical product. We're not dabbling in paper. Right now, in the ETFs, there's been a lot of gold and silver sold off in the ETFs because basically central banks, some of the bigger central banks haven't bought any gold this year. So ETFs, people follow that. There's going to be a scramble to buy the physical gold and silver. There's not a lot out there to buy. At Guildhall, we sell the physical product. We don't sell paper. We don't sell securities. We don't sell certificates. We don't sell ETFs. Futures are options and futures. It's the physical product. You can go to our website, guildhallwealth.com, right hand corner. There's our e-commerce store. You can buy physical product, have it delivered, or you can pick it up. You can open an account for a depositor. If you're a large investor or an investor that wants to buy an amount, if you're buying 1,000 ounces of silver, it weighs 70 pounds. Do you want to be hauling that roundabout? It's only $15,000, $16,000 US, $20,000 Canadian. You don't want to leave that in your house. You can't put it in a safety deposit box. You need to put it in a safe, secure location, which is segregated, allocated, and insured with Lloyd's in London. This is the way to buy it. We also offer TFSA, an RSP, where you can put gold and silver. We've partnered on this with Questrade, that they're the custodian of the product. All the paperwork, everything goes through them. All we do is the purchasing. It's in the same secure depository as we have. It's an easy purchase to make. You can put up, if you've never invested in a TFSA, you can put up to $41,000. Now, this is a great time to be buying gold and silver. It costs 1.25% a year to store and ensure your product. That works out to 5% over four years. If silver's trading at $15 today, do you think silver can go up to $15.75 in the next four years? Because if you do, you should get up off your butt, give us a call, because this is the time to get into gold and silver, to put in for your retirement. It's money. It's real money. Fiat currency sooner or later is going to collapse. The US dollar right now is the best house on the worst street. There's a fight to the bottom of who's going to push their currency so low. Sooner or later, you've got another cypress, you've got another Greece. There's a few other countries not far behind. France, Portugal, Spain, just to name a few. Get into a hard asset on gold and silver. 18778 silver, guildhallwealth.com. So, among no reasons, why else buy it, Jeremy? Well, look, right now it's undervalued. We want to be the smartest people in the room, right? When you're talking to people who own stocks, they never tell you about the ones that they're losing on. They only ever tell you about the winners. And if you want to be a winner, you have to buy at the low in the market in order to do that. Now, you might buy a day early or a month early or a year early, but it's better to be early than it is to follow the herd and get into the stock market that everyone says is overvalued. So, if you want to be, make money, number one, you want to look for something that's undervalued. And if you look at the fundamentals of gold and silver, you'll definitely see that they are clearly undervalued. So, you want to buy at the best price, the lowest price possible, it's going to maximize your returns. So, if you're looking to make good returns on your money, you want to buy something that's definitely undervalued. So, I think the other aspect as to why people are buying gold and silver now that I see when people are coming to guildhall is that they are looking for protection. They're seeing a lot of things happening around the globe that is unsettling and they wonder how long is it going to be before it comes into my backyard. So, we want to protect against that, right? So, the best way to do that is to own a tangible asset, a luxury asset like a colored diamond or a tangible asset like silver and gold. Now, we all like convenience and that's why we have the E store to make it very convenient for you to be able to purchase, just go online, you register an account, you pick your product and that's it, you've booked your price. If you are, if you do get up, as Paul said, if you do get up to a point where you're, you have to be worried about the security of that product because you're starting to own more than 500 ounces, you want to look for the security. We're more than happy to help with that service. You know, you're happy to own a good amount of silver because you like what you're seeing, you like the type of money that you can make, you like the security, it gives you, now let's make sure that it is secured in the depository. And of course, if you really want to get into this market, but you don't maybe have the funds outside your RSP, but you have it inside your RSP, what better way than to utilize that instrument that we have at Guildhall to invest in physical asset, allocated, segregated product, you can personally go and audit it, but you can do that all within the RSP. So we're trying to make it very easy and we hope that this is going to be your choice. One eight seven seven eight silver Guildhall wealth.com is the website. Make sure you check on the E store while you're there. Interview coming up, stick around, we'll be on the air here for a couple segments with our bullion analyst Justin Smith. That's on the way next right here in the real money show. Talk radio pay him 640 and back into the real money show. The number is one eight seven seven eight silver online Guildhall wealth.com. I want to welcome our guest on the show for this week, our bullion analyst Justin Smith. He's been around a website called next big trade.com. You'll catch his stuff. In fact, numerous published works among others on Yahoo finance and kit go three to one gold gold seek and resource investor to name a few want to welcome him to the show. Hi, Justin. Welcome to the show. Hey, thanks for having me today. Before we get started, why don't you introduce yourself to everyone listening today so that they get an idea of what it is that you do because I think I might screw that up completely. Well, I'm basically an independent analyst and trader. I've been following the gold market since 2003. I started publishing my material on the gold and silver and other parts of the stock market in 2011. I have a deep passion for the markets and studying past market history and trying to broaden my broad knowledge of fundamentals and technical behind market cycles and movements. I also have a technical background. I'm a software developer. I'm trying to develop some analytical software to help me analyze the market and to use the stage analysis market system that I use to take analyze the stock market. Perfect. Of course, you have a website called www.nextbigtrade.com. That's correct. I've been publishing material on that site since 2011. I also have a Twitter handle. I'm actually publishing videos on YouTube now too. Excellent. Don't tell anyone your Twitter handle just yet. We want to keep them listening for later on in the show. It's great that you do handle the analytics side of the market and you look into the charts and you're looking at all that because I think that's something that a lot of our listeners are going to be intrigued to hear. Before we get into that, I know you also look at cycles overall. On the real money show here, we've definitely discussed cycles and especially how gold and silver have been in a cyclical bull market since 2002. I know you've written a number of articles about cycles in the market and the importance of knowing where we are. With that, I wonder if you can offer us any insight as to where gold and silver are at the moment and what they might be representing to an investor right now. Sure. I use a system called stage analysis to understand where markets are in their cycles and to figure out what I want to do in the market. Essentially, in stage analysis, market cycles can be divided into four types. A stage one basing phase, a stage two advancing phase or bull market, a stage three topping phase and a stage four declining phase. All markets basically cycle between these four stages over time. The critical point is identifying where a market is in these cycles when you make investment decisions. The ideal time to buy is when you break out from a stage one base into a stage two bull market and the ideal time to sell is when the market tops out in the stage three and begins a stage four decline. I have a stage health page on my website if you want to get more information on what the system involves. Basically, all it is is a weekly price data compared to the 30-week moving average and when the market is trending above the 30-week moving average, we can play the markets in a bull market and when it's trending below the 30-week moving average, we can play the markets in a bear market. So gold made a bull market top recently in 2011 and then it kind of went into a stage three topping phase during 2012 and when the stock market broke out into a bull market and since 2013 gold simultaneous was went into a bear market phase or stage four decline. When people became very bearish on gold in mid 2013, they made an important bottom around $1,200 an ounce. Ever since then, gold has really formed a stage one base. Even though a lot of people in the media and analysts have maintained their bearish-lessed on gold, gold has basically held around the 1,200 area for two years now. It's only about $50 below 1,200 as we speak. So there's a couple things to know about where gold is in this long-term cycle and we can say that gold is in a late bear market because it's been in a downward phase for four years now. This is actually one of the, I think it's the second worst phase for gold over the last 50 years as far as a four-year down period. The only thing that's comparable really is the 1996 to 2000 bear market and gold and we know what happened after that bear market. We saw a huge advance in gold studying in the year 2000-2001. So gold is in a classic stage one now where everyone's given up hope and people started kind of ignoring markets when they're getting stage one. But if you understand stage analysis and how markets cycle, when markets are kind of bombed out and washed out, that's when you want to start paying attention because when that market breaks back into a new bull market, it's where you have huge opportunities to make a lot of money. A couple other things to note about gold is gold is actually the second strongest currency out there right now. If you look at gold price in Canadian dollars, gold has actually made higher lows and higher highs since that mid-2013 low. Only price in US dollars is gold actually still kind of in a slight down trend in this base. But in Canadian dollars, gold has actually formed a stronger base and actually is looking like it's going to break out into a stage two earlier in foreign currencies including the Canadian dollar. So basically to summarize, gold is really, you know, it's in a stage one and it's kind of just on the cause of doing something important and breaking back into a bull mode. But the question is how much longer do we have to wait for this transition back into a bull face for gold? Hope you're enjoying our interview here with Justin Smythe. In the meantime, if you want to start investing as the show is carrying on here, 187-78 Silver is the number to get a haul of Guildhall and online to guildhallwealth.com. So you're saying there's four stage cycles. We're in for gold and silver right now. We're looking at about stage one, which again is a repeat. Well, if you're looking at a cyclical bull market, let's say we're heading into part two of the cyclical bull market. And this would be stage one right now where we're at, because from seeing some of your writing, you're saying that gold and silver have definitely been creating a base for the last couple of years here. Yeah, correct. While other things are going as other markets, like the US stock market has been in an upward face for the last couple of years. And while the US dollar just broke out into a big upward trend in 2014, Golden Silver have just kind of consolidated after the 2013 kind of crash in Golden Silver. So it's interesting because really that stage four downtrend in gold didn't last very long. I mean, it only lasted for like five or six months while that specific downtrend. And then we just kind of had like this sideways grind in gold ever since. And people kind of remain bearish on gold, even though gold really hasn't anything too negative in the last couple of years. So it's interesting how the psychology and the technical has actually worked together because really you want to start paying more attention to markets that have kind of just existed for a while where most people have stopped paying attention. Yeah, I think it's I was reading one of your articles where you were really taking the banks to task and the fact that they've always called gold and silver wrong. I think that's really interesting that where their mindset is with gold always seems to be late. So when they decide that gold is actually in a bull market, they're they're usually picking that around, I guess, stage three. And they sort of miss it every time. So, yeah, take a golden saxophone. I mean, gold most of the banks in 2011 became, you know, bullish on gold as gold was making that top. So if you're an individual investor and you're kind of like shaking your head, why did I think gold was going to continue higher in 2011? And why wasn't I smart enough to know that it was in the top? Well, most of the big banks were thinking the same thing, you know, at least publicly. They weren't putting out public information that was saying that gold was going to be in a downward trend and so even like early 2013 when it already was in a down trend and when, you know, that gold had just gone sideways and kind of corrected in 2012. So, you know, it took even the big banks and all their smart analysts and people, they pay a lot of money to analyze the markets to figure out what anybody that's looking at charts can really succeed to. That gold was actually entering a negative phase in early 2013. And, you know, goldman issued a slam dunk sell call on gold in late 2013 saying that in 2014 gold was going to be a terrible market and, you know, lose a lot more value in gold, I think in the US dollars lost like around a percent or something. So they were, they were terribly wrong on the slam dunk sell call on gold too. So I wouldn't put freedom since a lot of these big banks say on gold because obviously they demonstrated they've been, you know, terribly wrong in the past and they could easily be wrong here being negative on gold, while gold could be setting up to transition back into a new bull market. So let's reverse that then. Let's look at the equities market and the economy as a whole because we call it, we call it the real money show, the art of misdirection, but let's just call it bad calls from the bank for the sake of this talk right here. It looks like the Fed policies, US government that they're making a good case for the economy being great. Now you, you live in the United States, how, how good are things really going down there and what kind of effect will that have long term on gold and silver knowing that, hey, the bank's got it wrong with gold and silver. Are they getting it right with their call on the current economy? Well, I think if you really dig into the current like economic numbers that are coming out, you see, you know, we had a negative GDP print and quoted the first quarter. Retail sales just came down in a recent report. A lot of times you see the economics numbers when they come out, you see the phrase worse than expected because all these economists expect good numbers, but they keep getting numbers that are worse than, you know, what they think. And then, you know, I see a lot of signs of greed in this market too, but in the US corporations are buying back stock at the fastest pace since the 2008 stock market collapse. And in my view, I actually did a YouTube video on this, but I see the corporations in the US has actually done money in the stock market. A lot of times people say, you know, retail investors have to pour back into the stock market before the stock market makes it pop because they're the dumb money. But right now, US corporations are falling back almost 100% of their profits into buying back stock. And I think a lot of that has to do with the fact that, you know, money is so cheap right now and they don't see good prospects of investing in their own businesses. So they think that they're doing investors a favor by buying back their own shares. And a lot of this is just kind of like greed and it's like falling the herd, they're just buying back stock because other companies are buying back stock. So, you know, overall, I don't see, you know, this is a layman on the ground too. I don't see conditions in the United States improving drastically. And I think this lower interest rates have allowed people that already don't have much money to borrow more money. A couple other things you see in the markets, you know, you see more financial stress. You saw the Chinese stock market bubble recently collapsed. You know, we have the Greek and Puerto Rico debt crisis is going on. There's a big problem underneath the surface that gets a little bit of traction. But I think it's going a little bit more unnoticed than it should. And it's the collapse in energy prices and how that's going to affect all the, you know, billions of dollars that was invested into the shale oil production in the United States. You know, a lot of that debt is going to get default phenomena for oil prices to remain low. So, you know, there's a lot of financial stress. And one other thing to note is that, you know, I do an analysis using my stage analysis system. And I've actually built a software tool that I continue to work on that, you know, analyzes the entire market. And less than 50% of the stocks than the S&P 500 are in an uptrend right now. That includes less than 50% of the stocks in the NASDAQ or in an uptrend. And actually less than 40% of the stocks on the New York market change are in an uptrend. So, the market overall is actually pretty weak. I mean, we've only seen the S&P 500 go up a couple percent so far this year. So, but the breadth underneath is weak. And there's only a few stocks that are actually, you know, holding up the entire market. So, we need to continue to watch the equity markets are going to, you know, remain weak and potentially roll over. Well, take a quick break there, Justin. If you just want to hang on, the number to start investing 18778 silver online to guildhallwealth.com. Reminder as well that for all diamonds purchased between now and the end of August with Guildhall. They'll be giving you an immediate 10% off the purchase price back to you as a buyer to be placed in either a gold or silver bullion TFSA or RRSP account with Guildhall Wealth Management. More of our guest, Justin Smith coming up here on Talk Radio AM640. And more of the Real Money Show, the number to start investing. You know what, by now, 18778 silver, the website is Guildhallwealth.com. Make sure you pick up an investor kit and the precious metal advisor. And I'll tell you this once again, for all diamonds purchased between now and the end of August, they'll be getting an immediate 10% of the purchase price back to you as a buyer to be placed in either gold or silver bullion TFSA or RRSP account with Guildhall. As well, till the end of July, you purchase a 100 ounce buyer of silver, you will receive a one ounce silver maple leaf as well. Jeremy. Okay, we're back with Justin Smith. How are you doing, Justin? Great. We were just discussing, and I really liked your opinion here about the low interest rates, creating a lot of dumb money that that, you know, we hadn't known me Prince on a few weeks ago. And she was talking about papering over the issues. And I really liked this idea that, well, you make interest rates really low, you're going to also create a lot of dumb money that's going to create, you know, views in the market you wouldn't otherwise see. And obviously there, you were also just talking about a lot of issues coming up, whether it be debt crisis around the world or China's casino stock market bubble bursting. And then, of course, you also just mentioned that the S and sorry, the Dow doesn't have as many stocks going up as people think. I want to change gears here to physical demand. Again, being a chart analyst and looking at that, we see from our side a lot of physical demand, especially in silver, but that doesn't reflect necessarily in the charts. Can you expand on that a little bit? You know, I think really physical, gold and silver investors, at least in the United States, kind of encompassed a minority of people, unfortunately, because you really need to be educated on the markets and understand, you know, what the ramifications of paper money are. And, you know, the amount of debt the government has and how, you know, big problems could be created in the future by kind of the mess we've gotten into. So I think, you know, it takes two things to become a precious metal investor. I think it takes education and it takes wealth because you've got to have money to put into the market and, you know, get some hard assets. And I just think, at least in the United States, a lot of people just don't have those two things. I mean, they're not educated. They're not even like looking at gold and silver and they're not, you know, worried about the ramifications of the government debt problem. I think, you know, one other thing we could talk about too is that people tend to be attracted to markets that have gone up a lot. I mean, unfortunately, people like to buy into bubbles and, you know, when they get groovy and they see other people making a lot of money in markets, you see these manias and then everything comes crashing back down. So I think more people got interested in gold leading into the 2011 top. But unfortunately, you know, we're only seeing savvy investors probably look at this current correction as a buying opportunity. So I think, you know, what's going to happen really is when the US stock market and the US dollar, you know, finally pop out because they are eventually going to make a major pop. I mean, we're talking about market cycles and all markets cycle through different periods in their history. So we're going to see the US stock market and the US dollar top at some point. And I think once that kicks the precious metals back in the gear, you know, ending up for trains, then, you know, you're going to see more people start flocking into gold and silver because they're not going to have the alternative of putting money into the stock market. So, you know, instead of buying Netflix or some of these high flying stocks right now in the market, I mean, there really isn't too many of them, to be honest. This late in 2015, you know, they're going to turn to things like gold and silver because they're going to be back into bull markets. And, you know, they're probably going to buy them a lot higher than they would if they were kind of paying more attention right now and trying to make a contrarian play on the current market situation. So what do you think is in store for the remainder of 2015? I want you to look into your crystal ball a little bit. I know we shouldn't be doing that here, but, you know, let's give it a try. Yeah, I mean, it's really hard to obviously predict the market in the future, but you know, you could look at it two different ways. I mean, we know that these cycles in the market aren't going to last forever. So we can either, you know, kind of look at what's going on now and just predict it to continue out in the future. Let's say that, you know, the health care sector continues to lead the US stock market. Maybe what we see, you know, tech stocks continue higher. And, you know, the US dollar just launched into a bull phase in 2014. So maybe that continues higher. I mean, that could put pressure on gold and silver for another year or so. But, you know, in all honesty, I think most of the losses in gold and silver are already in the market. I mean, if you look at gold and silver mining companies, if you look at their quarterly earnings reports right now, most of them are barely breaking even that we're losing money. So, you know, and we've already seen a few gold mining companies actually go out of business, like allied Nevada, San Gold, Midway Gold, where a few that I've looked at. And, you know, so gold really is actually gold and silver are pretty much lower than what it costs to mine them out of the ground, which is pretty extraordinary because, you know, precious metals mining assets are extremely rare. And, you know, it's just amazing that, you know, they're actually selling a product for less than what it costs them to get out of the ground. So, you know, even if the US markets continue higher, I don't see a lot of, you know, further downside to functional and gold and silver, but if they continue to make the stage one base, then the eventual bull market is just going to be more explosive because, you know, these gold mining companies are going to continue to streamline their operations and become more efficient. And once things turn around, you're going to see investment money just flood back into the sector once the cycle does eventually turn. So, you know, you typically kind of see kind of big turns in markets, you know, one or two big turns every year in a different asset class. So, it could be that gold and silver, maybe just fall, you make the final turn back into a bull market, but we just have to wait and see kind of see how the charts play out and see the different cross currents in the markets and what's going on. But just kind of, you know, be aware and vigilant that things can always change. And, you know, the markets are never constant. They always kind of rotate every few years in the different cycles. And we hope you're enjoying the interview thus far with Justin Smythe. If you want to start investing right now, the number one, eight, seven, seven, eight silver online to guildhallwealth.com. That makes a lot of sense to me. I mean, you know, we're looking at a good basing time for precious metals. Obviously, we want to, if you're a value investor, you want to buy in while it's cheap. I think that it's interesting to note as well when you're looking at mining companies going under and the price of metals being under the cost of production because we're also seeing the US Mint running out of silver eagles, right? So that puts a further strain on the actual inventory, which I think when we look at when the market changes direction, we might have a problem because people who want to actually buy it at the higher prices, would you say it's because the chart looks good at that point that they might have problem actually purchasing. There might not be the inventory. overnight, their bank closed and you couldn't get money out of ATMs. I mean, if you're a person in Greece that still had your money in an ATM, I mean, you're way behind the curve and actually realizing what's going on and what you need to do to kind of protect your finance future. I mean, if you were an educating citizen of Greece, you'd probably have a good stash of your assets in gold and silver and another foreign bank account and prepared to wait out the storm in Greece. But unfortunately, there's a large portion of people in probably every country that just aren't aware of some of the dire circumstances that governments and monster debt problems can pose for people. So I definitely think, I mean, look at the amount of metal that actually flowed out of the GLG ETF too during this latest downturn in gold. I mean, they're going to have to build kind of balances to get back to where they were at the top of the market. And that's going to add another important source of demand for buying physical metal. I mean, you have, you know, in China, they're creating new precious metals exchanges and China, there's a lot of stories about China, you know, acquiring physical metal and, you know, building a big store of gold so they can actually back their currency by gold at some point in the future. So there's a lot of demand sources that, you know, you might not even think about, but once they kick back into gear, once you see these investment funds, because I know for sure that on Wall Street, a lot of money is going to go back into gold and silver and it's going to go into things like GLG and FLV. And that's going to cause demand for physical metals. And the whole thing is going to, you know, kickstart demand for real metal back in the gear. And that's going to be another factor that really launches the bull market back in the forest. So, you know, we see the metal kind of drift sideways now and we think that, you know, demand is never going to come back, but that's not how market budget works. You know, we know eventually that this down cycle is going to cause, you know, a new up cycle, a new demand and a new strong fundamental for gold and silver. Well, I think the GLD is going to have a tough time acquiring that metal. They're going to have to buy it at much higher prices from people like you and me and all of our listeners to the show. Justin, this has been fantastic. I want to know where people can find out where the next big trade is. Well, personally, you know, I think that the equity markets are in a late, you know, stage two and it's getting kind of dangerous to own stocks now. You know, like the health care sector is one of the only strong sectors remaining in the U.S. stock markets. I think you'll see that, you know, overall, like the IBB, ETF and XBI are up like 30 to 40 percent this year, but every other sector in the United States is up single digits or down this year. So, really, the performance in the stock market is getting very thin. I mean, we just talked about earlier, you know, less than 50 percent of stocks in the major indexes are in up trends right now. So, it's getting more dangerous to own stocks. I mean, you know, the U.S. dollar has gone through a major up trend and is actually, you know, in my opinion, could be late in its bull market as well because of how, you know, strong, this kind of like bubbly type move was. And you have bonds who are paying virtually nothing, you know, in interest. And, you know, at some point, people are going to, you know, demand more interest and a big sell off in the blind market is going to occur. So, you have a lot of danger and a lot of the major asset classes in the markets. And, you know, the commodity markets represents one of the best values in the market currently since we've been in the bear market and we've based out. So, you know, I've got a keen eye on gold and silver and the gold and silver mining stocks. And, you know, I think that during the next, you know, big cycle in the markets, you can see money rotate back into that sector. And that's really where you're going to want to be. And, you know, the U.S. stock market goes back into a bear market and actually the U.S. dollar will actually lose its position as the dominant currency as well. Justin Smith, I want to thank you so much for being on the show. Website, nextbigtrade.com. That Twitter handle is? Yeah, it's just at big trade. So, it's pretty easy. It's just like my website. I also have a YouTube channel that you can get to off my website. And, I also have that screening tool I was talking about that helps you kind of visualize things in the station office system. And that's at screener.nextbigtrade.com. You can also reach me at Justin@nextbigtrade.com if you want to email me. I will answer emails and messages on Twitter. So, I've got emails from people all over the world about all kinds of different things in the market. So, you know, if you got a question or want to talk about something, go ahead and send me a message. Absolutely. And I want to leave with one of your beliefs from thenextbigtrade.com, the very first one, get positioned early in bull markets. And that's where we all think we are. So, thank you again for being on the show, Justin. Yeah, thanks a lot for the opportunity to talk to you guys today. Okay, guys, let's take a short break. I got to thank Justin once again. Jeremy, good work. We'll take a short one here, get back into diamonds after this. In the meantime, 18778 silver online to guildhallwealth.com. Pick up the precious metal advisor, the investor kit as well. And as well, for all diamonds purchased between now and the end of August, we'll be giving you an immediate 10% off the purchase price back to you as a buyer to be placed in either a gold or silver buoyant TFSA or RRSP account with Guildhall Wealth. And you purchase a 100 ounce bar of silver till the end of July, you will receive a one ounce silver maple leaf, get it all happening on 18778 silver and guildhallwealth.com. More the real money show and talk radio name 640. And back with more of the real money show, the number is 18778 silver online to guildhallwealth.com or guildhalldiamonds.com. Want to remind her that for all diamonds purchase between now and the end of August, we'll be giving you an immediate 10% off the purchase price back to you as a buyer to be placed in either gold or silver buoyant TFSA or RRSP accounts with guildhall wealth management. And as well, till the end of July, you purchase a 100 ounce bar of silver, you will receive a one ounce silver maple leaf coin to go along with that. Paul, we'll get into diamonds here shortly, but what a fantastic interview at the beginning there with Justin Smythe. Yeah, I thought so, John. I mean, Jeremy did a wonderful job of interviewing. This guy is pretty, pretty smart. Don't you think so, Jeremy, over the subject that we spoke about in the first segment, he actually covered in this interview? Yeah, I like that we got a chance to talk about the banks getting it wrong. That's something that we've noted here and there, but he actually did the research and pointed out on which occasions he got it wrong. And we were just talking after off air about the fact that he thought it was very interesting that the majority of people were buying at the top of the market in 2011, which goes along with what his thesis is, which is most people are going to buy at the top. Well, yeah, I mean, right now, if we look at the stock market, the last one in is the first one to get hurt. And this is why gold and silver is such a great buy right now, just based on the prices. This is a great opportunity. And if people are listening out there and they want to know how to buy gold and silver, it's the most easiest thing that Guildhall wealth, you go to our website, guildhallwealth.com in the right-hand corner is our e-commerce store. Click on, you'll see silver and gold, whether you want to buy silver maple leaves, one ounce, 10 ounce, 100 ounce bars of silver, same thing in gold, whether you want to buy maple leaves, whether you want to buy kangaroos, gold buffaloes, 10 ounce bars, a gold, one ounce raw Canadian mint, it's just as easy with a click of a mouse. The other thing that we have available, Jeremy, is that it's positive if you want to kind of give people an idea what. Yeah, well, first, I mean, we all want the convenience, and that's what the e-store is. What we find is that people will buy a few ounces here and there, start to build up, and then all of a sudden, you might be looking to holding 500 ounces of silver, and now we want to concern ourselves with the security of that product, right? Absolutely, because I delivered some product in the week to a client that purchased gold and silver, and when he got it, I mean it's a lot of silver and a lot of gold, and then he said to me, well, what do I do with it? I said, well, the safest thing you could have done was to put it in the depository, which is safe, secure, segregated, allocated, insured by Lloyd's in London, and it's out of the banking system. And of course, we do have the document that we put together that brochure about home storage, so that people can make their own decisions, so that people want to be educated about what to do, that they can look at, okay, should I hold it at home? Do I have enough to hold it home, or put it in a safety deposit box? Now speaking of that, John, with the capital controls in Greece, you can't get into a safety deposit box. Well, this is not the same. This is not the first time it's happened. I mean, it's happened in Cyprus not even a year ago, where basically the banks closed, anybody had more than 100,000 euros, 20% went down the drain. I'm starting to think about the fact that, you know, I've got some stuff in a safety deposit box. Well, even if you put it into a safety deposit, it's safe, but if you want to trade it the next day, it's no good in the safety deposit box, whereas if it's in with you guys, hello. John, call right? John, you are getting good at this. Thank you. But it's true. You want to be able to pick up the phone and sell, and you know what, that's what people really like about the RSP, the fact that you're getting it fully allocated and segregated. You get your serial numbers. We give you the serial numbers. You can literally audit the product that you're holding in your RSP, but you can buy and sell on a phone call. You don't have to pick up the product. So this has been one of the, to me, one of the ultimate ways investment tools to get involved in gold and silver, because most people have put their investment funds into the RSP. So now you can own that asset. It's not only RSP, it's TFSA, RIF, for all those RSPCA, what is that one? But anything where there's a pension, you can actually be able to put gold and silver. And we partner with Questrade, who actually are the custodians. We do the purchasing. Your product is in a safe, secure, allocated to pository. You can buy and sell on a phone call. It's a great way to own physical gold and silver. At Guildhall, we don't sell any paper products. We're not in the equity market. We don't sell securities. We don't sell ETFs. We don't sell certificates. We don't sell futures or options on futures. It's the physical product that you're purchasing. You can, whether you want to take it home or put it in a safe, secure, depository. Let's get, talk about diamonds. Yeah, there's something that you, we've been talking about, you know, wrapping up precious metals here, but let's get, there's something shining in my eye here. What is that as I look through the sunny window on a Thursday afternoon? Yeah, I brought out a couple of diamonds. I just picked up actually from the appraiser. And they're really, really beautiful diamonds. One of the diamonds is a 1.11 fancy, intense, yellow, radiant diamond, but it's almost-- Still in the plastic I can hear. Yeah, it's rattling a little. It's a stunning, stunning diamond, but we were going to talk about a diamond that's exactly the same diamond, not exactly the same diamond, but it's a 1.11 carat. But instead of being a radiant, it's a cushion. And we think this diamond is an extraordinary diamond that will only increase in value. It's, you know, when you buy a cushion, a cushion is basically looks like a cushion with round corners. And it's the color, it's an intense. There's three grades of diamonds that we sell, fancy, intense, and vivid. This intense is so strong, it looks like a vivid. And it's a great, great diamond. And I think this would make one hell of an investment. Easiest way to contact, we should mention as well, Jeremy, people are going, "Okay, I get it, now I want to call 1-8-7-7-8-Silver and online to guildhallwealth.com," right? Yeah, one of the first things that jumps out when you see this 1.11 carat, intense, yellow, is it's got a very rich color to it. It actually ended up taking a really good photograph as well. And the way it holds all the different facets giving off different types of light, very kaleidoscopic in terms of when you look at that diamond for the first time. One of the things we did this week actually at Guildhall is I pulled out of Paul's drawer, an inventory list from 2012. And we found some comparable diamonds on our list that we currently have. And we came up with about, I think there's about 10-15 diamonds there. And just looking at the price range that you'd now pay for a diamond that you would have 3.5 years ago. One of the first things I noticed and had to be reminded of is that back in 2012, Guildhall didn't sell fancy yellow diamonds. We only sold intense and vivid. And it was only a product of the market being that the intense diamonds were getting harder and harder to find. So for example, in 2012, I think we had over 10 intense yellows at the time. Now we're lucky if we can have two or three. And I'm talking just over a carat between 1.30. So the diamonds are getting harder and harder to find. The other thing I noticed as well as we had two blues and a red back then, which are gone. Yeah. But the thing is, is that we're all looking for security. We all want to know that we're securing our future and making money and making money is fun. And one of the best ways to do that is with a luxury asset. Now, what's wonderful about a diamond is if you buy quality, you're going to get the investment side of this. The better the quality that diamond, the harder it is to find that diamond. The more expensive that diamond is and the better the return. So for example, we looked at the pinks. There were a few pinks on there that have literally no word of a lie have doubled in price in the last three and a half years. The lowest range was in the 35% over three and a half years. And that's the type of gain we'd kill for. We all want that, right? But you're also basing that not on the Canadian dollar price that we sell it. Now, the currency as we're recording this show today is 1.295. Wow. That's almost 30%. If you bought a diamond last year from us, when it was par, you've already made 30%. Amazing, right? Just in Canadian dollars. Luxury commodity. That's what's so good about this. But Paul, why don't you tell people about what you go through on a daily basis to buy a diamond? I mean, I hear you on the phone. I hear you talking to the dealers. I hear you screaming and a lot of them saying, "I don't want that." But what is it that you have to go through to try to find something like a 111? Yeah, I get through email. A lot of GIA's that come through every single day to me of diamonds, the dealers are trying to sell to me. The first thing I look at is the dimensions of the diamond. That's without actually seeing the physical product. When I look at it, if it's out of balance, it's not the type of diamond you're going to buy. The next thing I'm looking at, what type of prices they're asking for. But out of maybe 50, 60 diamonds that are offered to me every single month, I may buy five or six of those diamonds. It just doesn't make sense to buy something just because someone's pushing it on you. You have to have the four C's and the four C's is the first thing that we look at when we actually get a diamond is the color. Is the diamond evenly saturated in color? Is it a strong color? That's most important. If we were rating diamonds on one to ten, which is not the way the GIA graduates diamonds, but if we were looking at one to ten, the diamonds I buy, whether it's a fancy intense or a vivid, a fancy has to be a nine or ten and be borderline intense. If I'm buying an intense, it's got to be a nine or ten and it looks like a vivid. That's why I was talking about this 111 stone that we have on the website. The color is so strong, it's evenly saturated. The cut is a beautiful, beautiful cut and because the cut is so great, it's evenly balanced. The color and the fire that comes off of this diamond is just incredible. So that's important. The next thing that we look at is the carrot weight. It's important that the diamond in especially in a yellow has to be over a carrot. So we've got the cut. The clarity is the second third thing that we actually look at. On our yellow diamonds, majority of our diamonds are internally flawless because that's what we search for as a diamond, as an investment grade. Natural fancy color diamonds tend to double every four to five years. Some of the diamonds double every two years and three years, but on average, they're doubling every four to five years if you buy a quality diamond. If you buy a lesser diamond, for example, fancy IF, you may get eight to 12% return a year. If you buy an intense, you may get 18 to 20% return. You buy a vivid, you can get up to 35, 40% return, and if we're looking at our guile pinks, you know, over the last 10 years, they've actually gone up an average of about 300 and 40%. So it's not a, you know, this is not rocket science to buy an investment. If you're looking to retire, you're looking to put your kids through university. This is a great hold for 10 to 15 years. You can be buying an algal pink, for example, in a ranging for about $50,000. That stone in 15 years time could easily be worth anywhere from 200 to $250,000. We've seen these returns right now, and we think that this is a great opportunity. Go to our website, guildholddiamonds.com, look at our collection, make an appointment to come in and see us. Every appointment is confidential. We'd be happy to sit down with you. Go over the investment. We don't judge anybody's pocket book, but, you know, as Jeremy said, these diamonds are extremely rare. It's all, it's like real estate. It's location, location, location. It's the same with diamonds. The more you spend, the better return you're going to get. And we'll wrap it for another week, guys. Great show. Got to thank Justin Smythe once again for his contributions to the show this week. Until next time, I'll give you the numbers, 18778 Silver Online, guildholdwealth.com, pick up the investor kit, make sure you sign on for the precious metal advisor. And for all diamonds, purses as well, between now and the end of August, I'll be giving you an immediate 10% off the purchase price back to you as a buyer to be placed in either a gold or silver bullion TFSA or RSP account with Guildhall Wealth Management. And if you buy a 100 ounce buyer of silver right now till the end of July, you will receive a one ounce silver maple leaf to go along with. This has been the Real Money Show right here on Talk Radio, AM 640. What if you could have a streaming service that added new shows and movies every day? 365 days a year. 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