Monday, August 10, 2009
EXCELLENT ARTICLE AND CHARTS ON GOLD...A MUST TO READ AND STUDY CAREFULLY
CREDIT TO FASTGT FOR THE LINK: http://news.goldseek.com/CliveMaund/1249844182.php Every year for the past five years I have been ABSOLUTELY convinced that gold was going much higher about this time of year, only to get hammered badly hanging on to my long positions thinking I had enough in my trading account to weather any dip in price. I was wrong EVERY TIME! Don't let this happen to you! I was greatly influenced by Jim Sinclair's commitment to gold. But remember ALWAYS... Sinclair is a proponent of CASH GOLD, not trading gold. He adamantly has ALWAYS chastised gold traders warning them that the commodity markets are a ZERO SUM GAME, in which one side wins and the other loses. And almost always it's the little guy that loses. You can't get hurt holding CASH GOLD! You only lose opportunities to buy it at lower prices, but in the long run you will at least have the gold. By far, most people don't have a clue how to trade anything, but think they're smarter than those around them after learning the basics...Those people almost always lose everything, but usually blame it on everything but themselves. Don't be one of them. Practice good money management and AVOID GREED! I think there will be a FINAL planned wipeout of the gold market so the BIG BOYS can scoop up all the gold they can accumulate before THE END occurs. Take your profits quickly from your long positions while you have them as you trade. A small profit is far better than having to wait out a losing trade, or worse yet, taking the loss. BUILD UP YOUR TRADING ACCOUNT so you can position yourself to buy in at the bottom of the wipeout. It will be deeper than you think it could ever go...if it happens. Look at annual charts of the past five years to see the pattern and how deep the sell offs were. Then notice that the turn arounds went to the moon clear into Feb/March of the following year in some cases. This next big rally after the wipeout will be the start of the bigget rally in gold in history...BE ON IT! or be decimated by the economic collapse that goes with it. And whatever you do...DON'T EVER CHASE THE GOLD MARKET HIGHER! There will always be a pull back as it ascends higher to enter the market. The swings in the gold price on a tick by tick basis are going to blow your minds when they start moving $50-$100 per tick in the not so far off future. The exchanges will be raising margin requirements to ridiculous levels to squeeze out the little traders too, so be prepared for that.