In his latest piece, Peter Degraaf analyzes the question if gold and the?US dollar can rise in tandem. He calculates that?it is now 78 weeks ago since the gold price reached a new all-time high. He compares it with the correction of 2006 which took 71 weeks, and the correction in 2008 which took 77 weeks. A simultaneous rise of gold and the US dollar could be imminent.
In his article, he shows 13 different charts which are characterized by extreme and mostly historical readings, including:
- The US Federal Debt has risen to all-time highs.
- Money managers hold historically low long positions vs historically high short positions.
- Large funds hold multi-year low GLD positions compared to their total assets.
- The gold price standard deviation sits at record lows (a buy signal from a contrarian point of view).
- Central Bank gold buying recently reached a 48-year high.
Peter Degraaf writes that all currencies, once decoupled from gold backing, eventually became worthless. There are no exceptions. The Bank of Canada has since 1980 sold 98% of its gold holdings and ?invested? the proceeds in U.S. dollar denominated bills and bonds, which are not backed by gold.
The full article is available for download and is a must-read to put the downward gold price pressure into perspective.
Peter Degraaf is an online stocks and bullion investor with over 50 years of investing experience.? He produces a daily market letter for his many subscribers.? For a sample copy drop him a line at itiswell@cogeco.net or visit his website www.pdegraaf.com.
Source: http://goldsilverworlds.com/gold-silver-general/gold-extreme-readings-in-13-charts-by-peter-degraaf/
safety not guaranteed lifehouse al gore la dodgers lawrence o donnell magic johnson jetblue pilot
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.