Owning gold is a hedge against the potential disaster of runaway inflation, more probable now with the massive increase in Federal debt. During the last bull market in gold, the shiny metal rose over 2,300% from a low of $35 in 1970 to a high of $850 in 1980. 10 fundamental reason to own gold.
My Gold analysis right now is that I can’t see any scenario where Gold will go back down under $825 an ounce, and if we get a good short squeeze going, the upside could blow the doors off as we head straight up to 1,200+. While many traders have been frustrated with the Gold market for the past several months, it has in fact performed quite well given the positive movement higher for most markets.
While the printing press is going at full-tilt in the US and the fact that most people are not involved in the Gold market at the present time, it occurs to us that this market could indeed be setting itself up for a nice rally. The Gold market looks golden.
Here are a few gold plays that I really like! If you don’t own a small amount of a gold miner or at minimum the GLD I would start accumulating soon.
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