The recent downtrend of gold and silver has caused me to be asked more then ever, “where do you see gold prices going?” It has never been my policy to make market predictions because A.) there are too many variables and B.) It’s your money and your need to make your own decisions based on your own research not someones opinion.
With that being said these are my short term thoughts on gold. I would estimate that at least in the short term, we are near the bottom in gold for “now”. Simply look at the 5 year Chart below:
A.) Since about 2011, it has been gold’s trend to always fall in price starting in September and trend down until around the new year before moving higher again. Which is what’s happening again this year, no surprise there.
B.) From the chart, we can also see for the last 3 years, prices tend to peak around between spring and late summer.
C.) In the last 2 years gold has bounced off of the support level of $1200 USD per OZT. I think we are likely to see that same bounce, again and then a re-trend back up to the $1400 level. That bounce could happen very soon, meaning we are ahead of schedule in the cycle and could see gold re trending up by the end of October. Unless gold swiftly breaks, the $1200 USD barrier soon I think it’s very unlikely gold will be going to $1000 USD as some “experts” are claiming. If it does break that support though, all bet’s are off.
Anyway’s given the current cycle in the market it seems that accumulating now in September/October and planning to liquidate (if you want to) in the spring summer would be a good idea. That’s all for you, gotta fly.