Bill Clinton once said, "I feel your pain." I know many have been caught on the bear side of this gold market since the peak at 1920 in September 2011, and the pain has only gotten worse and worse.
Remember, nothing goes up or down in straightline and there is always a better time to buy or a better time to sell. Pertaining to latest gold and silver trades, I just got my members out again on the 'LONG' side for some profits. We are waiting to re-enter our positions. And I believe the probability of success for the next trade will be quite high.
Gold is out of favour as long as USD is strong or US's economy is solid. The U.S. Economy (the latest third-quarter GDP report show the U.S. economy grew at a 3.9 percent rate, up from 3.5%, and increasing consumer spending) is kicking the gold-bug with more pain. But that does not mean it is firing on all cylinders. Wage growth is weakening as well as housing sales and quality of employment growth is poor.
And there are more important questions that need to be asked and answered. One of the two key questions that need to be seriously explored: Is the growth in U.S for real? If So, can the U.S single growth-engine continues to drive the global growth as Japan and Europe is in a critical mess and the red dragon China is slowing down. Of course, on a relative basis, U.S seems to be like a shining star in a darkened, universal sky!
How to trade or invest in Gold or any other markets?
We all know that we need to buy low and sell high in oreder to make a better gain but unfortunately, most of the times it drops lower and lower after buying in or it goes higher and higher after selling. Why? Simply put, many traders buy in and sell out too early as the turning point is still far off in term of TIMING. Understanding this psychology and concepts are the key to understanding when to invest, and if we can't grasp hold of this concept, it is better to stay away from trading or investing.
Identifying the major turning point by Cycle Timing analysis is helping you to minimise the risk and maximise the return. I have been using 3 Timing analytical methods in combination with Fundamentals, Technicals and Sentiments for quite a while and it has been proven again and again that it is a absolute success.