You guys know how I’ve been a staunch advocate for investing at least part of your savings if not your wealth in gold for the past nine years right?
If you’ve listened to my ravings, I have to tell you that I have a few warning lights going on here. Nothing confirmed yet but we may well be reaching an intermediate top in the price of bullion. An intermediate top that may give way to a 50% decline from around $1250/$1300 for as long as two years maybe.
I as yet have no solid evidence. Just a feeling for the time being. I freely admit that I myself am conflicted. On one hand fundamental and sentiment analysis tells me this cannot be the end of this run in gold. On the other hand, recent moves by notable players and populist pundits make me uncomfortable.
If you follow the charts I maintain and if you decide to bail out of your investments, do not do so all at once. Monitor my charts and exit progressively as support levels are broken to the downside… if they should be broken to the down side.