Having been investing in gold since 2002 (Tocqueville Gold Fund (TGLDX) is my main vehicle to invest in gold though I have also bought a few gold coins in the past couple of years), I was pretty excited when gold broke the key $1,000/ounce mark in March 2008. But since then, gold has been traded down in general.
But then you’d think that with the government printing money at a record speed to finance the stimulus and recovery, gold could easily retake the $1,000 level and be traded even higher. That didn’t happen until March 2009 when gold did claim back the $1,000 an ounce level as the stock market got hammered by seemingly endless turmoils in the financial market. The rally, however, was yet again a short-lived one, with gold reaching as low as $870/ounce in April. Since then, gold has made another attempt to break $1,000/ounce, but failed (only reached $990) and currently is traded around $930.
Where is gold going from here? Can the precious metal find support at $930 and start to trade higher again? Or is it forming a double-top and going to test recent lows again?
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