Up Down UP Down UP…..Then Its STAGE 4 – WHEN GOLD EXPLODES UPWARDS
STAGE 3: The price of gold is subject to increasing highs and lows and large investment funds move in and out of gold as global uncertainties wax and wane, a sign that gold is increasingly a haven in uncertain times.
pp. 151-152, Time of the Vulture: How to Survive the Crisis and Prosper in the Process, DRS, 3rd ed., 2012
In How to Survive the Crisis and Prosper in the Process (3rd ed., 2012) I describe the five stages of gold. When I began writing the book in 2006, gold was in Stage 2. In 2007, gold entered Stage 3 where speculators and investment funds become a factor to the increasingly volatile price of gold.
On October 19th, Commerzbank attributed the day’s 1.3% fall in the price of gold to speculative financial investors: “The Dollar Gold Price fell to $1732 per ounce Friday… We hold selling by speculative financial investors responsible for the price slide… In recent weeks they had strongly built up their positions and may now be seeing themselves forced to take profits given the faltering upswing.” Read here.
….read more about stage 3 then the Explosive Stage 4 HERE
