Gold

This eye-opening article explains how China is influencing gold demand and prices and what it means for Western investors. Readers will discover how much gold China is really buying and steps they are taking to undermine the U.S. Dollar as the world reserve currency. It even includes a prediction for gold prices. It’s a must-read for any precious metals investor.

If you own and possess gold and silver, you've taken a big step toward securing financial protection for yourself and your family. The next, even more important, step is to then keep your mouth shut to protect your safety.

This is the final installment of our 5-part 2014 Gold Series. With input from some of the most important names in gold, such as Brent Cook, Doug Casey, Frank Holmes, Bob Moriarty and James Fraser, it covers gold trends that investors should be watching for through the rest of the year and beyond.

The market has not changed materially over the past many weeks/months and, as long as the market has not changed, expectations that the price of gold and silver should not change, either. Expectations are future hopes/plans that may or may not ever be realized. Present market conditions are the reality of what is, without getting into the mental gymnastics about the degree of reality reflected in the charts. Market activity trumps everything, and one works with that reality or risks substantial loss by favoring opinion/hopes/expectations. Below is what the charts are saying today.

Many gold bugs hold out hope that any day now, gold will resume its march upward to $2,000, then $5,000 and then $10,000 per ounce. In answer to the question “How can anyone reasonably calculate what the value of gold is?” I want to put forth in this post a possible model for doing just that. The purpose of the model isn’t to say where gold will go but to look at the underlying factors that drive the price of the precious metal.

In an opposite mode to the very bearish outlook for stock markets, developing evidence suggests that precious metals and in particular gold and gold stocks have completed a bear market low...and have already begun a major bull market.

When I suggest that the gold price can rise to a level in the 5-digit range, I expect to be ridiculed or to have my forecast overlooked by most market participants. Nevertheless, as we will see in a moment the prospect of 5-digit gold is not so far-fetched.

Precious metals shares are breaking out again after a brief consolidation. It’s time to channel your inner Old Turkey, realize this is a bull market and act accordingly.

Despite the precious metal's recent rally, and though silver may be somewhat more interesting than gold, I'm not convinced that this is a market that most investors want to chase. Here's why.

Ignore those pundits who are saying PMs are ready to take off. If you apply a little bit of common sense, and you look at these charts, can you draw any other conclusion(s)? Always remember: the markets never lie and here is what they are saying.