The big trends are often the hardest to identify. They are best seen on monthly charts. For instance, examine the two monthly charts below. The first one is the Dow going back to 2000. The second is gold going back to the same year. Where would you rather have been, in the Dow or in gold? The monthly charts often tell the story when nothing else does.
What to do? As I see it, the coming years will be the opposite of the period since the early 1980’s. By that I mean that the years from the early 1980s were years in which our efforts were confined to “making money.” As Richard Russell sees it, the years ahead we will be concentrating our efforts on NOT LOSING MONEY. This will be very difficult. The essence of it will be finding the safe haven area. Off hand, I believe the ultimate safe haven area will be gold. The losing area will be currencies including the dollar, and very probably bonds and stocks. The recognition of what I predict will be long and tedious. Nothing will occur over-night.
Comment after the close: On my Big Three, bonds were lower, the Dollar Index was and Feb gold was up 5.30 to 1126.20. Gold may have hit bottom yesterday. March silver confirmed gold, up 0.008 to 17.18. CEF and GTU both closed higher.
Richard Russell has made his subscribers fortunes. One of the best values anywhere in the financial world at only a $300 subscription to get his DAILY report for a year. HERE to subscribe. Richard has been Bullish Gold since below $300.
he 84 yr. old writes a market comment daily since the internet age began.
There is little in markets he has not seen. Mr. Russell gained wide recognition via a series of over 30 Dow Theory and technical articles that he wrote for Barron’s during the late-’50s through the ’90s. Russell was the first (in 1960) to recommend gold stocks. He called the top of the 1949-’66 bull market. And almost to the day he called the bottom of the great 1972-’74 bear market, and the beginning of the great bull market which started in December 1974. He loaded up on bonds in the early 80’s when US Treasuries where yielding 18%.
The above is a partial comment from the lengthy daily comment Richard Russell writes. One of the best values anywhere in the financial world at only a $300 subscription to get his report daily for a year. HERE to learn more and HERE to subscribe online.