Best of the Week
Most Popular
1. 2019 From A Fourth Turning Perspective - James_Quinn
2.Beware the Young Stocks Bear Market! - Zeal_LLC
3.Safe Havens are Surging. What this Means for Stocks 2019 - Troy_Bombardia
4.Most Popular Financial Markets Analysis of 2018 - Trump and BrExit Chaos Dominate - Nadeem_Walayat
5.January 2019 Financial Markets Analysis and Forecasts - Nadeem_Walayat
6.Silver Price Trend Analysis 2019 - Nadeem_Walayat
7.Why 90% of Traders Lose - Nadeem_Walayat
8.What to do With Your Money in a Stocks Bear Market - Stephen_McBride
9.Stock Market What to Expect in the First 3~5 Months of 2019 - Chris_Vermeulen
10.China, Global Economy has Tipped over: The Surging Dollar and the Rallying Yen - FXCOT
Last 7 days
UK Population Growth - Latest ONS Immigration Statistics and Consequences - 24th Mar 19
The Fed Follows Trump's Tweets, And Does The Right Thing - 24th Mar 19
Yield Curves, 2yr Yield, SPX Stocks and a Crack Up Boom? - 24th Mar 19
Risk/Reward in Silver Favors Buying Now, Not Waiting for Big Moves - 23rd Mar 19
Similarities Between Stock Market Today and Previous Bull Market Tops - 23rd Mar 19
Stock Market DOW Seasonal Trend Analysis - 23rd Mar 19
US Dollar Breakdown on Fed Was Much Worse Than It Looks - 23rd Mar 19
Gold Mid-Tier GDXJ Stocks Fundamentals - 23rd Mar 19
Which Currency Pairs Stand to Benefit from Prevailing Risk Aversion? - 23rd Mar 19
If You Get These 3 Things Right, You’ll Never Have to Worry About Money - 22nd Mar 19
March 2019 Cryptocurrency Technical Analysis - 22nd Mar 19
Turkey Tourist Fakes Market Bargains Haggling Top Tips - 22nd Mar 19
Next Recession: Finding A 48% Yield Amid The Ruins - 22nd Mar 19
Your Future Stock Returns Might Unpleasantly Surprise You - 22nd Mar 19
Fed Acknowledges “Recession Risks”. Run for the Hills! - 22nd Mar 19
Will Bridging Loans Grow in Demand and Usage in 2019? - 22nd Mar 19
Does Fed Know Something Gold Investors Do Not Know? - 21st Mar 19
Gold …Some Confirmations to Watch For - 21st Mar 19
UKIP No Longer About BrExit, Becomes BNP 2.0, Muslim Hate Party - 21st Mar 19
A Message to the Gold Bulls: Relying on the CoT Gives You A False Sense of Security - 20th Mar 19
The Secret to Funding a Green New Deal - 20th Mar 19
Vietnam, Part I: Colonialism and National Liberation - 20th Mar 19
Will the Fed Cut its Interest Rate Forecast, Pushing Gold Higher? - 20th Mar 19
Dow Jones Stock Market Topping Pattern - 20th Mar 19
Gold Stocks Outperform Gold but Not Stocks - 20th Mar 19
Here’s What You’re Not Hearing About the US - China Trade War - 20th Mar 19
US Overdosing on Debt - 19th Mar 19
Looking at the Economic Winter Season Ahead - 19th Mar 19
Will the Stock Market Crash Like 1937? - 19th Mar 19
Stock Market VIX Volaility Analysis - 19th Mar 19
FREE Access to Stock and Finanacial Markets Trading Analysis Worth $1229! - 19th Mar 19
US Stock Markets Price Anomaly Setup Continues - 19th Mar 19
Gold Price Confirmation of the Warning - 18th Mar 19
Split Stock Market Warning - 18th Mar 19
Stock Market Trend Analysis 2019 - Video - 18th Mar 19
Best Precious Metals Investment and Trades for 2019 - 18th Mar 19
Hurdles for Gold Stocks - 18th Mar 19
Pento: Coming QE & Low Rates Will Be ‘Rocket Fuel for Gold’ - 18th Mar 19
"This is for Tommy Robinson" Shouts Knife Wielding White Supremacist Terrorist in London - 18th Mar 19
This Is How You Create the Biggest Credit Bubble in History - 17th Mar 19
Crude Oil Bulls - For Whom the Bell Tolls - 17th Mar 19
Gold Mining Stocks Fundamentals - 17th Mar 19
Why Buy a Land Rover - Range Rover vs Huge Tree Branch Falling on its Roof - 17th Mar 19
UKIP Urged to Change Name to BNP 2.0 So BrExit Party Can Fight a 2nd EU Referendum - 17th Mar 19

Market Oracle FREE Newsletter

Stock Market Trend Forecast March to September 2019

Gold and Silver Market Update

Commodities / Gold and Silver 2012 Feb 28, 2012 - 05:51 AM GMT

By: Peter_Degraaf

Commodities

Best Financial Markets Analysis ArticleIn 1980 gold topped out at $850.00. That bull market produced an increase of +2,276% from start to finish. The current rally in gold began in 2002 at $260.00 and has thus far risen +582%. By comparison this current bull market has the potential to rise much further.


$GOLD (Gold - Spot Price (EOD)) CME

In 1980 silver topped out at $50.00 after rising +3,100%. The current bull market in silver began at 5.00 in 2003. It has thus far risen +600%. Silver also has the potential to rise much further.

Featured is the monthly gold chart. The uptrend is well defined within the blue channel. The supporting indicators A, B and C, are rising as well. Price is breaking out from beneath the resistance line. The last time this happened gold rose for almost three years. During that time the price doubled! A double from here takes gold to $3,500.00!

"The fear of hard times leads to inflating the money supply and inflating the money supply leads back to hard times." ...Ayn Rand.

China Hong Kong Gold Imports vs. US Treasury Holdings

This chart courtesy US Treasury and UBS shows the dramatic shift from US Treasury bills and bonds to gold bullion, on the part of China. This is a very bullish fundamental factor that is underpinning gold. "A trend in motion remains in motion until an outside event comes along to stop it." China needs gold as part of its plan to make the Yuan as dominant as the US dollar has been since 1944.

"Nations are not ruined by one act of violence, but gradually and almost imperceptibly by the depreciation of their currency, through excessive quantity" ... Nicolaus Copernicus 1525.

$GOLD:UDN (Gold (EOD)/PS DB US$ Bearish) CME/NYSE

Featured is the index that measures gold against the 6 currencies that make up the US dollar index. This trend represents gold in foreign currencies. Notice price is breaking out at the blue arrow from a large pennant formation. Volume is confirming the breakout. This confirms that the bull market in gold is not limited to a lack of confidence in the US dollar. This is a worldwide bull market where the participants are showing a preference for gold over all fiat currencies.

"The fear which fires inflation is the desire to contract debts, and at the same time, avoid at least partial repayment of those debts: R. J. Rushdoony (from 'Roots of Inflation').

$WTIC:$GOLD (Oil (EOD)/Gold (EOD)) CME/CME

Featured is a 20 year glance at the index that compares crude oil to gold. Expressed in gold the price of oil (except for fluctuations above and below the average), is virtually unchanged. If you sold a small gold coin once a week or once a month, and used the proceeds to buy gasoline for your car, you would have been paying the same price, on average, for the past twenty years, and most likely longer than that.

"When governments and their central banks conspire to expropriate wealth from investors via their inflationary stealth taxes, the only way to come out ahead in this game, is to always be invested in whichever market happens to be in a secular bullish trend." .....Adam Hamilton.

$WTIC:$SILVER (Oil(EOD)/Silver (EOD)) CME/CME

Featured is a twenty year review of the index that compares crude oil to silver. The same principle that applies to oil/gold also applies to oil/silver. Does this reinforce the need to own some gold and silver coins?

Hyperinflation (inflation at +20%), during my lifetime: Argentina, Austria, Bolivia, Brazil, China, Croatia, Ecuador, France, Germany, Hungary, Indonesia, Iraq, Italy, Mexico, Mozambique, Peru, Poland, Romania, Russia, Turkey, Uruguay, Venezuela, Vietnam, Yugoslavia, Zaire, Zimbabwe. Do still think it won't happen here?

$SILVER (Silver - Spot Price (EOD)) CME

Featured is the weekly silver chart. Price is carving out a large flag. The supporting indicators are positive (green lines). A breakout at the blue arrow sets up a target at the green arrow.

"Silver in RFID chips (Radio Frequency Identification). Next generation RFID chips will feature a tiny antenna which will increase the range for scanning the chip from 5 meters to 15 meters. This silver will be in too small an amount to make it economically recoverable. The number of RFID chips will eventually be in the billions." ...David Morgan.

Happy trading!

By Peter Degraaf

Peter Degraaf is an on-line stock trader with over 50 years of investing experience. He issues a weekend report on the markets for his many subscribers. For a sample issue send him an E-mail at itiswell@cogeco.net , or visit his website at www.pdegraaf.com where you will find many long-term charts, as well as an interesting collection of Worthwhile Quotes that make for fascinating reading.

© 2012 Copyright Peter Degraaf - All Rights Reserved

DISCLAIMER: Please do your own due diligence. I am NOT responsible for your trading decisions.

Peter Degraaf Archive

© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules