Christian is back at it again, this time stating that gold prices peaked in 2011, and will now target $1,400 or $1,500.
Last year, Christian correctly forecast the price action for the precious metal even as gold reached its nominal record high of $1,920.70 on an intraday basis in August, 2011. At the time, the consensus was for the metal to reach higher highs.
Um, CNBC? Christian has forecast price declines for gold every other week since 1999. We're not being biased at all acting like Christian is some sort of market timing guru because gold corrected at $1900, are we?
The Doc could come up with a slightly more accurate description of Christian's calls: The CPM Group's Christian has been stating gold has topped ever since $300 was reached over a decade ago. The fact that this consistently wrong analyst is again stating that gold has topped has major bullish implications for the continuation of gold's secular bull market.
Next, Christian 'proves' that a collapse in gold is imminent by producing a bubble-looking 50 year average monthly price chart for gold:
Before you rush out to your local dealer to dump your gold however, you may want to take a moment to examine gold's bull market gains and current price of $1675 adjusted for inflation. Viewed in the correct perspective, one correctly understands that gold is only slightly half-way to equaling the highs from its previous bull market in the 70's-80's, rather than already making blow-off parabolic top as implied by the nominal chart provided by Christian.
While its possible we could see gold correct farther down to the $1,500's, we believe this to be unlikely, and would embrace any such correction with open arms and two-fisted buying.
For the rest of Christian's latest hit piece on gold, click here:
