I recently came across some gold charts while reading a link I found at kitco.comBelow is an article by Dudley Pierce Baker. He discusses the parabolic moves in precious metals during 1979-1980.
He does make a valid point. Take a closer look at the above two charts.
Now those were parabolic moves!!
Could gold and silver have a repeat performance of those parabolic moves?
Well all I can say is who knows! Gold has been the top performing asset class of the last decade. The Every bull market has corrections along the way and the precious metals sector is no exception. So expect corrections and panic selling as part of the ongoing gold bullion bull market. The fundamentals are rock solid and long term buy and hold strategy is advised.
Once again I would like to warn investors not to try to time the precious metals market or indulge in leveraged trades when gold prices are rising. Instead look to buy in only after sell offs and corrections rather than chasing rising prices.
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