TGDR CHARTS Update - LT
Dear member,
The long term charts have been updated and posted at the golddrivers' website.
The charts can be viewed here at:
http://www.golddrivers.com/chartsmember.aspx
GOLD trading at record highs therefore bound to fall?
One of the main bear arguments you'll hear is that gold is bound to fall since it is trading at record highs these days. Yes, gold is trading far above its 1980 peak of $850 but you don't have to be Einstein in order to understand that today's dollars don't possess the same purchasing power as 1980 dollars. So if we take a peek at the inflation adjusted chart for gold the pictures changes dramatically and proves beyond any doubt that gold is nowhere trading near record highs these days. In order to do so it should be trading above $2300+..(according to official government inflation data!)
Now when you take into account the REAL inflation number instead of the bogus government inflation numbers then the pictures changes even more to the extreme. In order to reach inflation adjusted highs when using inflation statistics reported at www.shadowstats.com then gold should hit $7000+ ..
The current drop in price of gold means nothing in the BIG picture.. Gold will trade at new inflation adjusted highs before this bull market is over ($10.000 by 2015, see also related article 'Last Chance to buy gold below $1000?' published on Sept 02, 2009)
All other charts at:
http://www.golddrivers.com/chartsmember.aspx
Best regards,
Eric Hommelberg
The GoldDrivers Report /
The GoldDrivers Bullion Store
www.golddrivers.com