Al >I don't see volatility as a negative.
After two years in a bull trend and then an accelerating pattern ending in a classical "spike" followed by a 16% fall, if that doesn't signify a reversal then I don't know what does? Actually, we have previously discussed the "spike" reversal pattern.
Furthermore, the fall in POG is not an isolated event but is associated with countervailing investment situations (USD, Euro, SFranc, Sterling, Oil price, CRB, Bonds, Dow and S&P etc) which are moving in ways which are generally associated with a weaker gold price.
Of course, anything is possible (eg Iraq doing well) and there can be a bounce in the gold price. Only, in my opinion as an investor, I think the major trend is over for the time being. I am not clairvoyant and, as I say frequently, I am usually wrong.
PS. Very good to see you taking an interest in the gold price and, moreover, arguing about it. |
