Chart of the Day had an interesting chart on Friday. A long-term chart of gold …
Looking at this, you can see the boundries of gold’s long-term up-channel. On the downside, gold could go down to $1,000 an ounce before finding long-term support. On the upside – well, the upside of this channel is over $1,400 an ounce.
Not everyone is bullish on gold – in fact, many bears are getting more bearish. Check out this bearish comment from Oppenheimer’s chief investment strategist, Brian Belski, who believes gold’s price has reached bubble levels:
“…even on an inflation-adjusted basis, gold prices are higher now — two standard deviations above their long-term averages —than they’ve been since the early 1980s, when the U.S. was experiencing double-digit inflation. The metal is also “out of whack” with other commodities, a trend which has caused some puzzlement, even in places like the Federal Reserve.”
Maybe so. And we always have to pay close attention to what the bears are saying – it keeps us intellectually honest and thus more able to ride the market’s ups and downs. To be sure, nothing goes up in a straight line. But looking at that channel – and looking at the fundamental news I’ve been writing about in Uncommon Wisdom Daily recently (examples #1 and #2) – I think gold has more upside potential than downside risk. Much, much more!
If you’re not onboard The New Gold Rush yet, the time to sit on the sidelines is over. The time to act is now. The 10 red-hot precious metal picks in my New Gold Rush report are on fire! That portfolio jumped 7% in the past week, its first week of publication, outperforming the S&P 500, gold, AND the Gold Bugs Index. The New Gold Rush portfollio is just getting started, and there are eight fundamental forces at work that can drive gold higher. As in any gold rush, the people who move early tend to get the biggest gains. Get on board this profit train now, before it leaves the station — or you’ll wish you had.
Related Posts
- Weekly Gold Chart. Get Your Bull Horns On (11/06/09)
- Gold for Beginners and Late-Day Gold Chart (06/15/10)
- Gold Chart — Brace for Pullback (09/27/09)
- Gold Chart and Commodity Chart for Monday (06/29/09)
- GLD Chart and Story on Gold (06/14/10)
{ 0 comments… add one now }