Silver soared recently and white metal’s rally was accompanied by a huge volume. Those who are new to the precious metals market will probably immediately view this as bullish as that’s what the classic technical analysis polleit bitcoin charts imply. Silver is not a classic asset, though, and classic measures often don’t apply to it.
One way to check the real implications of a given development is to examine the previous cases and see what kind of action followed. As the world continues to see economic improvements, specifically within the US and major global markets, Gold and Silver are relegated to an after-thought by investors. If we were to believe Mr. Dent, then it would be bad news for gold investors. However, Harry Dent’s gold price forecast is quite faulty because he fails to consider the most critical factor.
The end of the Commodity Super-Cycle. Dent sees nothing but massive deflation ahead. Thus this will cause the gold price to fall along with all commodities. He Ran Into My Knife Ten Times. In 1913 congress approved The Federal Reserve, the U. This knife cut deep and caused huge economic blood loss.
On May 4 and 5, 2018, Warren E. Peoples’ enthusiasm is understandable: From 1965 to 2017, Buffett’s Berkshire share achieved an annual average return of 20. The fundamental drivers for Gold and the US Dollar are similar and that is why they typically trend together. Gold and the same drives the greenback though with respect to differentials between the other competing currencies. When real rates are rising or strong in the US that is bearish for Gold and bullish for the US Dollar. Gold’s breakout from its giant 5-year base pattern has had to wait for the dollar rally to run its course, which it now appears to have done, and this being the case, gold is now free to break out into a major bull market that looks set to dwarf all prior ones. There is a quiet revolution taking place in the monetary vacuum that’s developing on the back of the erosion of the dollar’s hegemony.