Here's Where 45 Years Of History Suggests Gold Prices Are Heading
(Kitco News) - The monthly continuation chart for nearby Comex gold futures, dating back around 45 years, shows a recent steep downdraft that saw prices this summer hit a 1.5-year low. The next major downside price target for the gold market bears is the 2016 low of $1,124.00, basis nearby futures. This longer-term chart suggests that's where gold prices are indeed heading in the next few months. Gold prices will have to push above $1,250.00 to provide the bulls some confidence, on a longer-term technical basis, that the market has stabilized, to then suggest prices trending sideways, if not sideways to higher, in the ensuing months. The presently beleaguered gold and silver market bulls must remember this: History proves that commodity market prices are highly cyclical. In other words, extended price downturns will lead to extended price upturns. Those traders/investors that have had the nerves to step in to buy at the historically lower price levels have always been rewarded--even if it takes a while.