What’s Next for the Gold Market?
On Friday, I told you that gold is a good purchase against the declining dollar. Gold is still in a bull market. And with each passing day, the case for gold gets stronger:
China has nearly doubled its gold reserves and will likely continue to increase those reserves. Hostility between Iran and the U.S. continues to grow. The U.S. dollar rally of the past year is running out of steam.
Gold typically reaches its lows during the summer months. Last year, however, gold reached its bottom during May and then proceeded to skyrocket. Right now, it looks like the gold market is forming a bottom and will most likely reach its nadir when no one is paying attention.
If gold declines to, say, $530 an ounce, that would provide an ideal opportunity for investors to get into the market.
If you want to take a small, long-term position in the gold market, you can do it now. But if you want to take a larger position in gold, your best bet is to wait until late July or early August before aggressively investing. That way, you’ll maximize your chances of getting in at a really good price.
(Ed. Note: Andrew Gordon, ETR ‘s financial expert, is the editor of our new investment service, The Wealth Advantage. Join now and you’ll get a free special report on three companies that have the very real potential of giving you up to 1,000 percent on your investment.)