How High Will Gold Go before Its Bull Market Ends?
The comments below are an edited and abridged synopsis of an article by Phoenix Capital
Gold broke $2,000 recently, a new high. What’s truly striking, however, is that even after such a massive move, gold’s correction was relatively shallow. Indeed, it looks increasingly as if it has put in a base and is ready for the next leg higher. If history is any guide, we’re just getting started.
During the last gold bull market in the 1970s, gold rose 585% during its first leg up from 1970 to 1975. It then corrected roughly 50% before beginning the next leg up. However, it was the second move higher that was the big one, equalling a 740% increase in value.
This time around, we’re following a similar pattern. Gold first rallied about 630% from 2003 to 2011. It then corrected about 43% before bottoming in 2015 at $1,060. If it follows a similar second leg up this time around, it’s going to around $8,000 per ounce before it peaks.
Fortunes will be made by this bull market. If you don’t have exposure to it, you need to get some.