GLD Watch 12/09

Well, we didn't get the decline I had hoped for. Right now, it looks like 70 is wishful thinking. At best, it looks like a lot of choppy price action (similar to June?) for the next week or two. Waiting too long could also mean missing the run up. I'm seriously thinking about taking a small position here.


To be frank, there could be significant downside here also. Those who don't see Gold as anything then another commodity would argue that Gold has a long ways down as it has held its value so far during the crisis. Deflationary fears have been driving the prices of other metals down.


My instincts and research say its more then just a precious metal... it's rare... it's tangible and unlike paper money, it's withstood the test of time.

"Under the rule of the Roman Empire at the time of Christ (1st Century AD), one ounce of gold would have purchased a Roman citizen his toga (suit), a leather belt, and a pair of sandals. Today two millennia later in the west, one ounce of gold will still buy a man a suit, a leather belt, and a pair of shoes. Nothing has changed." - Unknown