Having spent many years contemplating the gold price and researching charts and theories, I have come to a bit of an understanding. There is not one individual thing that will cause the price of gold to move to its new high. It is all things combined that will move gold. It is absolutely irrelevant as to whether or not a theory on gold price is real or not. For example manipulation, fiat money, mega shorts, correlations between price and interest rates, gold silver ratios, bond collapses, capital movements etc. What is the most important is that net effect is in the positive direction. If the manipulation supporters feel that the manipulation is broken, they will buy. If the interest rate bugs see interest rates rising, they too will buy and so on and so forth. A rising price will confirm in the minds of the purchaser that their understanding of the foundation of gold price movement is justified. The rising price will in turn snowball in much the same way as bitcoin and every other asset that has had a parabolic blow-off. I believe that we are close to 9 months away from a positive movement confirmation. Won't it be nice in a few years when we will all be right. Who would have thought!!!
Well I noticed a couple of months ago that the "We Buy Gold" kiosk was back in the local shopping centre, after being closed for 2 or 3 years.
100% agree with this summation, and it is the described market dynamics, and acting on sentiment, that form the basis of T/A.
ok wrcmad. I couldn't find a good chart for exactly what I want to show but I find the correlation between the 70's gold bull market and the current bull run to have very similar features. This is 2 years old but the mirror pattern is still holding. The frequency for this run is different but that does not seem to matter when adjusted to compare. The relative amplitude mirror pattern is also holding. Within 2 years, I will be looking to see if the "smiley face" halfway pattern is complete. If the pattern holds to the end then a final spike out to $6000 to $8000 ounce gold will be the end result. Food for thought.
