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Is gold on its third leg down and ready for a steady climb back up ?

I'm not a chartist. I don't understand charts. I don't think they're reliable.

But I do notice time and time again that when any commodity goes through some sort of correction in a bull market (not a bear),
that it usually has three legs down. It goes down three times and up two before it starts it's slow trend back upward.

I think gold is in its third leg down right now, and I'm thinking the 1450-1550 range is a good range to start some
incrimental buying once again.

My last major purchase was when gold was at 1,200/oz, and I'm thinking sometimes this summer will be a great time
to do another nice purchase.

Please feel free to disagree and give contrary viewpoints.

thanks

Comments

  • tneigtneig Posts: 1,505 ✭✭✭
    Just for grins:
    "David Morgan believes we have seen the bottom in gold stocks, or are very near the bottom. He believes investors must now decide the amount they wish to invest, and then focus on what to buy. David also discusses the battle between the paper and physical markets, and how the paper market is losing the battle."
    (we know he never guesses incorrectly. I like his views, but he has a lot invested and knows what he says influences others..... )

    My two cents as a newbie (speaking here of the investment mode).
    I think gold will have spikes down even lower than you stated, but the window of time is very narrow at a spike. It will swing wildly. You have to be ready and set to push the button at whatever your planned time is, saving some for lower spikes. One has to be able to withstand gold being $1000 or lower for a time~. Some investors will get stung. It's a flat time now, but over all not stable. There is no one thing determining its price overall, but a multitude of varying affectors, at the whim of global and domestic conditions.

    By the summer everything will change, including any plan made today. No one knows what will happen tomorrow. I look at the charts all day, and realize that only %50 of the predictions are correct, and those not for long. It could continue up to $2200 after this flat time, or sink to $800 for three years. "Charts only show what happened." Everything else is prediction affected greatly by our biases.




    COA
  • DoubleEagle59DoubleEagle59 Posts: 8,307 ✭✭✭✭✭
    re: David Morgan.

    Has he ever been bearish on PM's though?

    Others have at tops, but it seems David M. is always bullish.
    "Gold is money, and nothing else" (JP Morgan, 1912)

    "“Those who sacrifice liberty for security/safety deserve neither.“(Benjamin Franklin)

    "I only golf on days that end in 'Y'" (DE59)
  • cohodkcohodk Posts: 19,100 ✭✭✭✭✭
    Gold has good support at 1525. It may hold or they may try to take it just under 1500 to grab the stops, then rally it back. Or it might break 1500 and drop another 10-20%.
    Excuses are tools of the ignorant

    Knowledge is the enemy of fear



  • << <i>Gold has good support at 1525. It may hold or they may try to take it just under 1500 to grab the stops, then rally it back. Or it might break 1500 and drop another 10-20%. >>



    Maybe time to test the waters
    NumbersUsa, FairUs, Alipac, CapsWeb, and TeamAmericaPac
  • derrybderryb Posts: 36,792 ✭✭✭✭✭
    PMs are showing strength today as the dollar holds stregth. Good sign, could be PMs have reversed.

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • CakesCakes Posts: 3,626 ✭✭✭✭✭


    << <i>PMs are showing strength today as the dollar holds stregth. Good sign, could be PMs have reversed. >>



    No not yet I haven't had a chance to buy a slabbed common date Saint Gaudens, maybe in PCGS 64 to 66 range.
    Successful coin BST transactions with Gerard and segoja.

    Successful card BST transactions with cbcnow, brogurt, gstarling, Bravesfan 007, and rajah 424.
  • OPAOPA Posts: 17,119 ✭✭✭✭✭


    << <i>PMs are showing strength today as the dollar holds stregth. Good sign, could be PMs have reversed. >>



    Most likely wishful thinking on your part. It will happen when you least expect it.
    "Bongo drive 1984 Lincoln that looks like old coin dug from ground."
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