Wednesday, June 17, 2009
What a Strong Bull Market Looks Like
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Here it is in all it's glory, the 10 year weekly log scale chart of Mr. Gold:
Here's a previous historic example of a similar strong bull market at the same phase of the bull where Gold is now (erased names and dates for fun):
And here's what came next in the historical example above:
The other investment/asset class I am aware of still in a long-term bullish market alignment is U.S. government debt (i.e. U.S. bonds), which is a deflationary sign, not an inflationary one. Oil and other commodities are no longer in a bullish alignment. Gold is a currency. Gold is money. Gold thrives in a Kondratieff Winter as people scramble down Exter's liquidity pyramid to the safety of the pyramid's apex.