Comments on: Market Update: Raised More Cash

By: frugal

frugal — Thu, 18 May 2006 13:28:38 +0000

I think pullback to $600 to $630 will probably produce a even better rally next time. But as you said, gold is very resilent so far. Thank you very much for all the links. It is very useful for me personally.

I expect the gold bull market to go for another 5 to 10 years. Since it can’t go up all the time, I expect that after the big correction, there will be some two years or so consolidation. But judging from the global trends, the next 1 or 1.5 years should be good. I don’t see gold consolidating its move at this level either. I think it should consolidate at a higher level after it makes its really big move. The consolidation level I believe should be more than $900. So I’m still guessing that this wave down is another bigger wave down before the bigger wave up yet.

By: BlueDaze

BlueDaze — Thu, 18 May 2006 12:42:06 +0000

Bob Bronson thinks the BIG ONE is as early as Oct 06.

http://www.financialsense.com/editorials/bronson/2005/images/0630d.gif

http://www.financialsense.com/editorials/bronson/2006/0517.html

As for the next gold rally, it may come sooner than we expect.

Gold has been showing remarkable resilience at the $685 support level.

I would prefer a correction back to the 50EMA price of $630 but Bob Foye suggests 20EMA as the buying-opportunity for gold.

http://www.321gold.com/editorials/hoye/hoye051006.html

Jim Sinclair’s gold commentaries are also good guides.

http://www.jsmineset.com/

His long-term gold targets are $860 and $1650.

By: frugal

frugal — Thu, 18 May 2006 03:55:06 +0000

Novice,
I don’t know what kind of timeframe you have in mind. The people who I talk to always want a quick return, which is usually not possible. As I have said in my first Market Outlook, I don’t think $750 will be broken this time around. I don’t know if there will be another up wave before the end of year. The next up wave I believe that $850 in gold will be broken. But the next up wave may come before year-end, or maybe for another 1 or 2 years. It depends on when the BIG correction comes. In any case, if you took a small position, I think it’s good. This is not the time of taking a big entry into market I believe.

$850 in gold will definitely be broken, and probably $1000 or more. But again, it all depends on timeframe. You may make a killing, or you may simply preserve your wealth. As for me, I’m most concerned about preserving my wealth. Timeframe is kind of secondary consideration to me.

Best luck.

By: Novice

Novice — Thu, 18 May 2006 00:05:33 +0000

I decided to go in on silver at 13.13. Have to learn one way or the other. Time to ride this out and see if those predicting a 1980 peak will be right.