Gold is back over $1,200 once again, and we may be getting a little bounce with precious metals, as we haven’t yet taken out the November 5 lows. We did come within $15 of the $1,132 low on March 18th, and on this most recent decline in the last week, we only got down to $1,185.
Since the gold bull market began in 2000, April has seen gold rise from March in just 5 out of the last 15 years. May has seen a rise in 8 out of 15 years; June 10 out of 15; July 6 out of 15 and August 10 out of 15. What does this data mean as to whether or not one should buy gold today, based on seasonal patterns? It means nothing.
Those who sell gold will give you every reason in the book to buy it. The following are reasons for gold’s rise that I have heard in the last year (this doesn’t mean I agree with all of them).
10 Reasons Why Gold Will Rise
- A dollar crash imminent
- The weak economy
- Geopolitical uncertainty (ISIS)
- Iran (Nukes)
- Peak gold
- China and India demand
- Mints running out of coins
- It can’t go any lower
The price of gold a year ago was $1,292. With all the reasons to buy gold above, you would think gold would rise in price, right? Why hasn’t it?
10 Reasons Why Gold Has Fallen
- A stronger dollar
- Fed‘s threat of higher rates
- No inflation
- No war (no fear)
- Iran nuke talks
- Drop in unemployment
- Pays no interest (Treasuries do, albeit small)
- Higher stock market
- Low volatility
- Lower demand
To continue reading this exclusive article posted to Seeking Alpha please click on this link; http://seekingalpha.com/article/3049016-dont-buy-gold-now-wait-until-its-under-1000
Doug Eberhardt is a 28 year financial services veteran and precious metals broker selling gold and silver at 1% over wholesale cost. Doug has written a book to help investors understand how gold and silver fit into a diversified portfolio, how to buy gold and silver, and what metals to buy. The book; “Buy Gold and Silver Safely” is available by clicking here Contact phone number for Buy Gold and Silver Safely is 888-604-6534
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