Gold Prices have been moving up for the past year. With a bounce off a recent retracement, the price of Gold is likely to keep moving up.
Take quick look at the 1 Year Gold Price chart in USD:
If you’re familiar with Forex Sailing the same concepts apply to Gold. You can see that we’re now in the III-IV phase of the wave, which would project us up to as high as $2,400 an ounce within the next year. If you don’t understand this sign up for your FREE Forex Sailing course here.
The long term downtrend of the US Dollar has a positive impact on rising Gold Prices (see US Dollar Index image to the right). The US continues to create new money by raising debt, causing the value of the dollar to decline and the price of Gold to rise.
A similar situation is happening in Europe with it’s own debt crisis, which also has a positive impact on Gold Prices.
A Gold Store on Every Corner
Have you seen all the Cash For Gold Commercials on TV? The Borders bookstore that closed in my local mall is now a “We Buy Gold” store. There’s also a kiosk in the same mall buying Gold. If you’re not happy with their offer, there are 3 new Gold exchanges within 5 miles of the mall.
The Demand for Gold is rising. Gold is typically bought up during times of economic uncertainty. With more Gold being bought up by all these Gold Buying Stores, Gold Prices are likely to continue rising.
An Extremely Safe Asset
Thousands of different currencies have come & gone throughout the ages. But Gold has always been an extremely safe asset that holds it’s value. Unlike paper currency, Gold can’t be manufactured artificially through an act of Goverment causing it to lose it’s value through inflation.
Gold is not only rare, it’s useful. Gold is used in electronic circuits, computers, jewelry and was one of the world’s first currencies. It’s a safer place to put your money than the stock market.
Consider Adding Gold to Your Portfolio
It’s a good time to consider buying Gold as part of your investment portfolio. I trade a portfolio of currencies, which allows me to benefit from the wild fluctuations in price caused by the actions of Goverment & Economies. I’m also lookig to expand my Gold position.
Gold Prices may rise to $2,400 an ounce within the next year. Even if they don’t rise that far, Gold is still a safe asset to hold. One that will maintain it’s value & be safe from inflation.