Gold has now made a bullish reversal on a weekly basis, as price rallied sharply on Thursday and Friday. Support held, which means gold could be on the verge of setting a double/triple bottom around $1,550.
I have written (and warned my readers) several times about the weak performance of the HUI index compared to the price of gold.
In this article we will have a look at the performance of the HUI index (Amex Gold Bugs) compared to the performance of Gold.
A couple of weeks ago, we compared the Bull market of Silver to the Nasdaq Bubble…
Most money is made during the latest phases of any bubble, as price goes nearly vertical.
After reaching an all-time high well above $1,900 earlier this week, gold is now about $180 lower, just two days later. We have been saying more than once that we should expect these kind of volatile moves in a parabolic end phase.
Gold is reaching record highs these days. Who benefits most of high gold prices? Those who hold a lot of the yellow metal of course. In India, there seems to be a real gold rush these days.
In this article, we will describe both a bullish and a bearish view on silver. Some say Gold and Silver are huge bubbles about to pop (they say that silver already popped when it dropped from nearly $50 to nearly $30 in may). Gold however, is trading near an all-time high, so definitely, the gold bubble hasn’t popped (yet).
In this article we will discuss different ratios, including the important DowJones-to-Gold ratio, but also a special ratio which we will discuss below. Let’s start with the DowJones-to-Gold ratio. When you see the following chart, you will probably be convinced that the Dow-to-Gold ratio has a long way to go before bottoming. Since 1900, the ratio has often fallen below 3. It even dropped as low as 1 in 1980:
At the end of April 2011, we warned for the end of the Parabolic rise in Silver prices.