Quote:
Originally Posted by milt
Jeez, I remember when it was 300. People thought then how could it go higher?
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You must also remember, then, when gold was $800, and people thought "how could it go lower."
That was in 1980. (That $800 in 1980 is around $2090 in today's dollars, btw).
Well, it did go lower - a lot lower (more than cut in half) and stayed lower for over a quarter of a century.
Anyways, you can make money on gold, but you need to know when to buy, and when to sell. It's not the buy and hold type of investment that gradually increases over time.
Clearly (there is no doubt about it), gold is in a massive bubble right now. The only question is, where in the bubble are we? Nobody knows, it is pretty much the same as guessing on black or red. Sell too early and you leave gains on the table. Sell to late and you lose gains that may take another 25 years to come back.
Here's the chart. Spikes like this with this kind of product are always a bubble. Whether in gold, or housing, etc. Always.
