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When This Pullback in Gold is Put into Perspective It’s No Big Deal – Here’s Proof
Lorimer Wilson, editor of www.FinancialArticleSummariesToday.com (A site for sore eyes and inquisitive minds) and www.munKNEE.com (Your Key to Making Money!) has edited ([ ]), abridged (…) and reformatted (some sub-titles and bold/italics emphases) the article below for the sake of clarity and brevity to ensure a fast and easy read. The report’s views and conclusions are unaltered and no personal comments have been included to maintain the integrity of the original article. Please note that this paragraph must be included in any article re-posting to avoid copyright infringement.
If you’re bullish about the long term for gold and silver, it’s mouthwatering to watch them undergo a major correction after taking earlier profits that added to your deployable cash. For a little historical perspective on pullbacks, consider the following charts.
The current 15.6% gold decline, while considered a “major” correction, is not out of the ordinary, particularly following the late summer spike and, after each big selloff, there was a price consolidation phase that in every instance led to higher prices. The message: hold on, and buy the big dips.
Not surprisingly, silver’s biggest corrections are larger than gold’s. This is also true for the rebounds; they’ve been quite dramatic. If we apply the biggest three-month recovery of 44.3% to the current correction, that would take silver to $40.63…
*http://www.caseyresearch.com/editorial.php?page=articles/pullbacks-perspective&ppref=ZHB426ED1211B
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Posted by Editor on Dec 1 2011, With 0 Reads, Filed under Gold/Silver, Investing. You can follow any responses to this entry through the RSS 2.0. Both comments and pings are currently closed.
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