Next Level: GOLD $1,350.00

many have predicted gold will hit a high this year at around $1,350.00. the high next year at $1,650.00. we are talking about high. the average should be below those level. but still we gonna say good-bye to 900's. what you think?. up or down?.

 

Log in or Sign up to hide this ad.

I think those numbers are unrealistic even for a high.

This year only has 3 months left, personnaly I don't think it will go over $1050 and we would be lucky to see $1100 for a high.

 

I think your history predicting precious metals is rather poor, Elaine, and nobody can predict the future.

 

September is mostly bad for gold. December is mostly the highest. let's see what will happen this year. after all. everybody is just predicting.

 

I'm predicting people will buy no matter how high it goes, and then whine about it when the price drops back to reasonable levels again. It happens about every ten years....people never, ever learn.
Guy~

 

let's also heard those predicting it will go down. all those reasons come out. and then we can summarize it.

 

It's gone up and down in cycles for as long as man has wanted to own gold. This economy is nothing we haven't seen before. Demand will be there, and then it will wane, like always. True, the bottoms have always been a bit more than previous bottoms, but it doesn't make it any less of a gamble.
Guy~

 

holding strong above $1,000
1005.60
+8.20

Lets see it close above $1,000 today.
Too bad it is the weekend.

 

September is actually the best month for gold
http://www.kitco.com/ind/Holmes/holmes_aug312009.html

average gain is 2.5%

I think long term, gold is going much, much higher. Predictions are mostly for entertainment, and for the most part worthless. Action is what counts. Reports about what a person is actually buying or selling (gold coins for this section of the forum), is of much more interest to me than predictions.

 

yes. for collectors. we are very cautious. the gold went up is mainly due to outsiders. not the collectors. when gold really go up. still, we the collectors will not sell them. because we collect. we enjoy the hobby. isn't it?.

 

That is a common fallacy. Gold's price is less a function of demand, and more a function of the US dollar versus world currencies.

Said another way, the global demand for gold is relatively constant, but the price is not, and it varies more closely with the relative value of the US$ than anything else.

Don't believe me? Graph gold against US$ against other currencies and see for yourself.

 

Normally I'd agree 100%. But this recent rise in gold prices isn't following that trend, as the dollar has actually maintained, and even gained on world currencies, particularly the Euro. Even metal experts are scratching their heads on this one.
Guy~

 

Agreed. It doesn't "always" work that way. Let's remember that prices are always set by supply and demand, however, I think that if you take a bit longer perspective that you will see what I have suggested above is true (and you seem to allude to this in your response).

If I had to guess what's going on it is that in times of global financial uncertainty (like today) the demand goes up (as a hedge), and that's likely whats caused the recent divergence between the value of the US$ and gold spot price.

I also think the rise of buying power of the lower and middle classes in China -- a people who have always valued gold and now have the money to buy it -- has also added to the price of gold.

 

p.s. While I really hesitate to try and make predictions, I still like Platinum over Gold for short to medium term appreciation, and I'm wagering (in terms of my own holdings) that it will outperform gold through the end of the year.

 

I think you're right. Platinum has been overshadowed by gold for too long and I think it will go up. I wish there were more collecting opportunities for platinum besides the overpriced US Mint bullion coins.
Guy~

 

If all of the craziness of the economy, huge levels of government spending and fear of financial meltdown over the past year only made gold barely hit $1000/oz. I can't imagine what it would take to actually see it reach $1350/oz. I think it'll be back to $800/oz or so before we see that!

 

probably not

 

Well, I'm not saying $1350...I really have no idea. I'm BETTING (based on my coin buying) it doesn't dip below $900 in the next 12 months.

In another thread (don't recall which), I posted a news article that reports Barrick Gold plans to invest $8.5 Billion to buy back their gold hedges. They want to maximize profits on an anticipated rise in gold prices. They cite "...improving supply/demand fundamentals..." for the move.

Barrick Gold!? They're not a small player...I gotta think they know what they're doing. They have shareholders to answer to. Maybe Elaine is on to something.

 

Guranteed if one big bump in the news .....terrorism, economy, another bank failure...etc you'll see gold spike with that said....I truely believe gold will hold firm in the high 9's to 1 K range! As the economy gets worst job losses , credit tighting, most people will not be able to afford to buy...most of you in this fourm who purchase FS and other gold bullion coins will curtail you spending due to cost. Once the demand falls and the market has surplus the price will level off. As for myself unlike others I never sell .....for a quick profit...I tend to hold.....as a cushion in case of a worse case scenario......as for other investment gold will never go to "0" and in hard times it's your ticket out of a very bad situation.

 

yakpoo: I read the article you posted the other day and bookmarked it: Barrick Announces Plan to Eliminate Gold Hedges

Kitco had some related news links this week on the Barrick story as well.

Elaine has been posting "her" prediction all week across every thread she can get it in edgewise, and I think it started around the time of her posting this CNBC link along with some speculations for gold at $1350 this year through $1650 next year.

For gold, I continue to feel/bet/guess that it will rise and fall slowly towards a high of $1200 this year but may hit it's high sooner rather than later, and the low will not go below $950, our newest base. This with the caveat that we do not have any unforeseen natural or man-made disasters or any other economic scandals which would effect the factors that affect the price of gold.

Personally, I especially like gold in coin form with nice designs that keep my interests going in collecting pieces with no less than a bullion value, but which for me are collectibles. However, it's hard to keep up with so many pricey purchases since these coins carry such premiums and having to contend with pricing fluctuations. For investment and collecting alike silver is really where it's at, and I see it easily topping $20 this year, let's suggest a $22-$25/oz. range if it keeps going, even though it is up so much already. It's a real star, easy to buy by the masses and in industrial demand... plus still at a price worth buying. Just my thoughts, hope they prove right.