..............To The Gold Manipulation Theorists
How did gold (http://stockcharts.com/charts/gallery.html?%24gold) average 30-35%/year for slightly over five years, in it's Wave 1 Cyclical Bull Market from April 2001 ($254ish) to 5-11-06 ($730.40), if it's the victim of major manipulation?
If gold is the victim of major manipulation, at the whim of "the powers that be," why should anyone invest in it?
How did gold (http://stockcharts.com/charts/gallery.html?%24gold) enjoy a huge spike move from 8-16-07 until 10-1-07 (final Wave 5 of the countertrend Wave B of the Wave 2 Cyclical Bear Market since 5-11-06) if it's the victim of major manipulation at the whim of "the powers that be?"
How did gold (http://stockcharts.com/charts/gallery.html?%24gold) nearly double from May 2004 until 5-11-06 if it's the victim of major manipulation at the whim of "the powers that be?" I won't hold my breath.
If gold is such a great buy and hold investment, why was it's recent peak at $755.70 on 10-1-07 only +3.46% above 5-11-06's cycle high at $730.40 (the answer to this is that 5-11-06's cycle high was a Wave 1 Cyclical Bull Market cycle high), and, is BELOW it's peak of TWENTY SEVEN YEARS AGO, that occurred well above $800 (Secular Bull Market cycle high)?
As a long term multi-year investor in any stock, commodity, etc. you want to buy near the primary multi-year Secular Bull Market/very long term upcycle trendline. Gold's primary multi-year Secular Bull Market/very long term upcycle trendline is at $475ish right now, so, gold would be a great buy in the $475-500 range. When the vast majority of gold writers say it's a great time to buy or are bullish, as they almost always are, it's rarely a good time for long term investors to buy.
HUI/XAU's Wave 2 Cyclical Bear Market began 5-11-06, see charts 7 and 9 at http://www.joefrocks.com/GoldStockCharts.html. The primary Secular Bull Market trendlines since late 2000 are at 200-220 for HUI and at 85-90 for the XAU. Those are the targets for where the Cyclical Bear Market will bottom. NEM's Wave 2 Cyclical Bear Market began on 1-31-06. ....... http://www.JoeFRocks.com/ .
HUI NEM XAU
If gold is the victim of major manipulation, at the whim of "the powers that be," why should anyone invest in it?
How did gold (http://stockcharts.com/charts/gallery.html?%24gold) enjoy a huge spike move from 8-16-07 until 10-1-07 (final Wave 5 of the countertrend Wave B of the Wave 2 Cyclical Bear Market since 5-11-06) if it's the victim of major manipulation at the whim of "the powers that be?"
How did gold (http://stockcharts.com/charts/gallery.html?%24gold) nearly double from May 2004 until 5-11-06 if it's the victim of major manipulation at the whim of "the powers that be?" I won't hold my breath.
If gold is such a great buy and hold investment, why was it's recent peak at $755.70 on 10-1-07 only +3.46% above 5-11-06's cycle high at $730.40 (the answer to this is that 5-11-06's cycle high was a Wave 1 Cyclical Bull Market cycle high), and, is BELOW it's peak of TWENTY SEVEN YEARS AGO, that occurred well above $800 (Secular Bull Market cycle high)?
As a long term multi-year investor in any stock, commodity, etc. you want to buy near the primary multi-year Secular Bull Market/very long term upcycle trendline. Gold's primary multi-year Secular Bull Market/very long term upcycle trendline is at $475ish right now, so, gold would be a great buy in the $475-500 range. When the vast majority of gold writers say it's a great time to buy or are bullish, as they almost always are, it's rarely a good time for long term investors to buy.
HUI/XAU's Wave 2 Cyclical Bear Market began 5-11-06, see charts 7 and 9 at http://www.joefrocks.com/GoldStockCharts.html. The primary Secular Bull Market trendlines since late 2000 are at 200-220 for HUI and at 85-90 for the XAU. Those are the targets for where the Cyclical Bear Market will bottom. NEM's Wave 2 Cyclical Bear Market began on 1-31-06. ....... http://www.JoeFRocks.com/ .
HUI NEM XAU
Labels: Gold, Gold Stocks, HUI, NEM, Silver, Silver Stocks, SPX, XAU
posted by Joe Ferrazzano at
4:19 PM
