| When we look at the price of silver and gold, especially when adjusted for inflation, we see a lot of upside potential. Because we believe that the most exciting part of a bull market is at the end of the move, we believe that the best may still be ahead of us. Let us explain with the use of a number of very enlightening charts that support our contention.
The above comments are edited excerpts from an article* by Investmentscore.com entitled Is The Silver And Gold Bull Market Over?
The following article is presented courtesy of Lorimer Wilson, editor of www.munKNEE.com (Your Key to Making Money!), www.FinancialArticleSummariesToday.com (A site for sore eyes and inquisitive minds) and the FREE Market Intelligence Report newsletter (register here; sample here) and has been edited, abridged and/or reformatted (some sub-titles and bold/italics emphases) for the sake of clarity and brevity to ensure a fast and easy read. This paragraph must be included in any article re-posting to avoid copyright infringement.
The article goes on to say in further edited excerpts:
The chart below compares the 1980’s gold bull market top to the top in gold back in 2011.
At first glance this move looks quite impressive.
The chart below compares one bull market to another by measuring the price appreciation from a bull market top to that same markets next bull market top.
When we look at the “Top to Top” maximum appreciation in the current bull market compared to the other past bull markets we can see that significant upside potential may still exist.
Below is the same chart as above adjusted for inflation using the government published Consumer Price Index
We can see that when adjusted for inflation, the price of silver and gold in the current bull market have yet to hit new highs…In our opinion, it would be very unusual for a bull market to end without the inflation adjusted price of that market to at least reach a new high.
The chart below, when adjusted for inflation, as measured by the U.S. government, clearly shows how the price of gold has yet to hit a new high.
The chart below illustrates how little the inflation adjusted price of silver has increased in value relative to the previous high set back in 1980.
With government stimulus and money printing at an all time high, one would expect the price of silver to be much higher in 2014 than 1980. We would also like to point out that we used the government issued CIP as our measure of inflation and some believe this calculation to be bias to the downside.
We find it very helpful to look at the “Big Picture” and compare historical market…[precedents] when trying to understand if a market is cheap or expensive. When we look at the price of silver and gold, especially when adjusted for inflation, we see a lot of upside potential. Because we believe that the most exciting part of a bull market is at the end of the move, we believe that the best may still be ahead of us.
Editor’s Note: The author’s views and conclusions in the above article are unaltered and no personal comments have been included to maintain the integrity of the original post. Furthermore, the views, conclusions and any recommendations offered in this article are not to be construed as an endorsement of such by the editor.
*http://investmentscore.com/editorials/is-the-silver-and-gold-bull-market-over.php (Copyright 2007 – 2014 © Investment Score Inc. All Rights Reserved. To learn more about our analysis and sign up for our free newsletter, please visit www.investmentscore.com. Our website offers free editorials as well as a paid subscription service for those who are interested.)
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