Is gold ready to challenge its all-time high?

The bull market inched higher during Sunday night trading, subsequently pushing gold to its best levels since December of last year. The sudden move down on Monday was a reminder that the 1160 area is an area of resistance for this precious metal.

In this new video on gold, I'll show you some of the indicators that you may want to look at in this market.

As always, our videos are free to watch and there are no registration requirements, but we invite you to please share your thoughts on gold on our Traders Blog:


All the best,

Adam Hewison


Co-creator, MarketClub

Community Talk

Re: Is gold ready to challenge its all-time high?

Let the bail outs continue, let europe go broke, let inflation surge higher. All good stuff for gold. New record touched. Thanks unstable spend thrift governments. Truly...THANK YOU. My portfolio is busting at the seams:)

Re: Is gold ready to challenge all-time high? Sucessfully done

Gold glitters at record price on safe haven

By QMI Agency

Last Updated: May 11, 2010 4:52pm

Gold prices jumped more than 2.5% Tuesday to hit a
new all-time high as investors clamoured to the precious metal as a
safety net after a $1-trillion European rescue package failed to quell
fears of eurozone debt contagion.

Bullion hit $1,230 US an ounce to just past the
previous peak set in December.

Gold wasn’t the only precious metal to shine
Tuesday. Silver also rose 4.5% to a five-month high.

Maison Placements Canada President and Chief
Executive John Ing recently told QMI Agency Europe's sovereign debt
crisis has led to realization that even the euro, which was once one of
the most in demand currencies, can be dragged down.

He expects gold prices to climb close to $2,000
US an ounce in the near future.

“That’s quite possible the way that things are
unfolding,” he said.

The best way to invest in gold is through stocks,
TSI Network editor Pat McKeough has said. Unlike bullion or gold
coins, stocks don’t need to be stashed or insured and therefore cost

Re: Is gold ready to challenge all-time high? Euro Gold does

$1160 USD it is Willi -  thanks for correcting me!    I think you will agree that dramatic events are on the horizon with many other countries & States facing insurmountable debt loads which are hard to reverse.    Exciting for those invested in gold but scary for many others who are literally losing their livelihoods & standard of living.   Could we say the best & worst is yet to come?    It is a two edged sword -  victory & defeat -  profit & loss - pleasant dreams & nightmares -    a juxtaposition on many, many issues.    Best to be prepared.

Willi, we share the same sentiments I am sure!

Re: Is gold ready to challenge all-time high? Euro Gold does

I think you meant 1160 fastfoot. Gents we are talking about a dramatic economic event for gold to go higher levels, much higher. $1600 gold will be a fright night, where as $6000 will be a real life nightmare... Exciting and scary at the same time. We are getting to the heart of investing now!

Re: Is gold ready to challenge all-time high? Euro Gold does

Pickle I agree with you -  that $1600 USD line seems to be  a critical one for us to hurdle over & rise to the next plateau.

You're a smart dude!   Thanks for your input as always.

Re: Is gold ready to challenge all-time high? Euro Gold does

Good stuff FF. Great article by Peter Degraff on Kitco today also. From here, 1160USD is the line to watch at present. 1160 Canadian and ~51.5K in rupees would confirm upside continuation & perhaps acceleration; jmo.

Re: Is gold ready to challenge all-time high? Euro Gold does








Euro Gold Continues To Make New

Posted: Apr 26 2010     By: Dan Norcini      Post
Edited: April 26, 2010 at 4:38 pm

Filed under: Trader Dan Norcini

Dear CIGAs,

Euro gold notches another all-time high at the London PM Fix, as does
Silver priced in Euro terms at the Fix.

Yen gold is also making new highs.

Please refer to the following charts when the gold hens start
cackling that the gold sky is falling.

Sustained strength in gold priced in alternate currencies besides the
US Dollar will continue to help pull Dollar priced gold higher or at
the very least, will bring in buying on dips in price.


Click charts to enlarge in PDF formatEuro gold-silver and yen gold<br />

Euro gold-silver and yen gold<br />

Euro gold-silver and yen gold<br />

Re: Is gold ready to challenge its all-time high?

Gold’s ability to hold well in the presence of
the buoyancy of the U.S. Dollar since December is similar to the
experience of 2004 through 2005. While there may be another test of the
$1115 to $1125 support, a close in gold above $1161 should trigger a
move to all-time highs.

(Click on image
to enlarge)


Apr 21, 2010
-Bob Hoye
Institutional Advisors

Re: Is gold ready to challenge its all-time high? Run not Over!

Gold Run Not Over: Marc

22 April 2010, 02:17 p.m. EST
By John Dourekas
Of Kitco News


Hong Kong (Kitco
) -- The rising price of gold is far from over since paper
money will continue to lose value, according to
Marc Faber, editor and publisher of The Gloom, Boom &
Doom Report.

“If you have $100 today, you buy that much less in terms of
a basket of goods and services then you did ten years ago – paper
money has already lost a lot of value and in my view it will continue
to lose value.  The price of gold will adjust on the upside according
to the loss of the purchasing power of money,” Faber said in an
exclusive interview with Kitco News. 

Still bullish on gold, Faber views precious
metals as currencies, not commodities. He said that precious metals are
currently his currencies of choice. Currently, stronger currencies
such as the Canadian and Australian Dollar are still vulnerable to a
slowdown in the Chinese economy, he said on the sidelines of the World
MoneyShow in Hong Kong.   

Faber said that he continues to buy the
yellow metal, “If someone is rich they should buy a ton every month. “

He also said that everyone should buy gold
because of the low US interest rates, “At zero percent interest, I
don’t see why someone would not have part of their money in gold and

Faber said that "as far as the eye can see, interest
rates under Bernanke will stay at zero and below."   He noted that the
current Vice Chairman of the Fed , "Janet Yellen, another totally,
ignorant economist, removed from any reality, said herself six months
ago, ‘if I could implement interest rates below zero, I would do it.’ So
now you know what the policy in the US will be,” Faber said.
He also said that if gold prices substantially rise one
day, there could be expropriation. “The Americans could force the
Europeans to do the same – once they have all the gold in the world
they would re-value it at $10,000 an ounce," Faber said.

Re: Is gold ready to challenge its all-time high? $500 in 6 mo

f gold isn't up at least $500 in the next six months, I will be
surprised," says, John Embry, Chief investment strategist at Sprott
Asset Management.

Speaking on the Gold Weekly podcast, Embry said that the price of
gold is on the rise for two main reasons.

The first of these is the rapid increase in
sovereign debt among many Western nations and the risks attached to it.
Embry says while Greece is the one at the top of the page right now it
is just one of many countries or states including the UK and many in the
Mediterranean and the US which have equally as serious debt issues.

He adds "We are in the early stages of what I think
might turn into some sort of a hyper-inflationary condition because
there are not enough savings in the world to even remotely service the
amount of sovereign debt that is going to be created in the next few
years. So you are going to see the creation of paper money the likes of
which we have seldom, if ever, seen in history. So, as the value of the
paper money goes down because of its proliferation, by definition, gold,
which is in limited supply, the price of it will go up in these paper

"We have gone through a period of disinflation,
certainly since about 1980. It's over. We are heading into a period the
likes of which we have never seen certainly in our lifetimes but maybe
the world has never seen before."

The second significant factor for Embry is the
difference between the paper gold market and the amount of physical gold
around to cover it.

"If you have short positions and paper gold to
the extent that you have right now, the whole situation is distorted.
The fact is, and I think there has been some really good work done on
this recently, I mean there is so many paper claims on each good
delivery bar, that if everyone decided one day that they didn't want
their paper gold, they wanted the gold that was supposedly underlying it
and they demanded it. It would just blow the top off the market and I
think, before this is over, that will occur."

He adds, "I think that North America and Europe
are going to become less and less a factor in the market, right now the
price is being controlled in the paper market on the LBMA and the
COMEX. I think that is in the process of changing, if the physical
market takes over, as I think it will, there is nowhere for the price to
go but up."

Re: Is gold ready to challenge its all-time high? Takeoff soon!

The Weakness In Gold That Isn’t

Posted: Apr 17 2010     By: Jim Sinclair      Post
Edited: April 17, 2010 at 1:18 pm

Filed under: General Editorial

Dear Friends,

Let no weakness in gold disturb you at this time.

I speak directly to the biggest and the best in the metals markets
worldwide. These are not talking heads and in fact are never
interviewed. They speak to me because they feel I have something
meaningful to contribute.

After 52 (1958 to present) years, it is safe to assume I have learned
a thing or two about the noble metal.

France was big at the start of the 1968 to 1980 bull market. The
Saudis came in later and were responsible, in my opinion, for taking
gold from $400 on the second break through all the way up. The Middle
East in general has this time been late to the market.

As the violence only increases in currencies, energy money is baffled
on how to maintain the value of this paper developed from crude oil and
its products.

Go back to the missive "Gold
$5000+ by Martin Armstrong
" and revisit his best case scenario which
was a decline in April followed by one dickens of a rally thereafter.

Thanks to the Goldman Sachs revelation, the entire derivatives market
looks like the Wild West and the 40 thieves.

Greece is not the only sovereign that has used OTC derivatives
weapons of mass destruction to cheat.

By the time this is over, certain states of the USA are going to get
caught in the OTC web.

No regulation means a damn thing now because regulations are simply
from now looking forward. Nothing whatsoever can erase these trillions
of dollars of toxic fraudulent BS paper out there.

Even the BIS changed their measure of notional value of OTC
derivatives by going to a computer model that is called "Value to
Maturity" which reduced the number from one trillion, one hundred and
forty four billion of this crap outstanding to a tad over six hundred
billion. All that did was create a sad cartoon.

Stay the course. We are a few days from a stratospheric takeoff in
the price of gold.


Re: Is gold ready to challenge its all-time high?Rubber Crutches

GrandpaJack -  we all know there will be swings in the price of gold - that is a given with any commodity or stock.   However, given the current continuing  financial deterioration of so many countries, states, cities, individuals & banks, every currency almost in the world is under intense pressure.

The world seems to be standing on RUBBER CRUTCHES -  they will not hold up much longer -   perhaps we would be better served by GOLD CRUTCHES.

(P.S. - Care to make a friendly wager re 2010 yr. end price of gold not being higher than it is right now?    Perhaps a 7 course dinner at New Year's - haha?)

Re: Is gold ready to challenge its all-time high?

Well I applaud the wishful thinking but I would be surprised if gold is higher than it is right now at the end of 2010. I am on side with many of the goldbugs and believe the summer will bring record prices but like the last time we touched new highs I think a sharp correction will follow. 

Re: Is gold ready to challenge its all-time high? Demand is high

China's demand for gold is rapidly increasing:Eily Ong: Chinese Gold Consumption ‘Catching

Written by Lara Crigger

April 16, 2010 10:58 AM EST


Page 1 of 2


When it
comes to the shape of gold demand, China is key, says Eily Ong, author
of the World Gold Council's recent study, Gold in the Year of the Tiger.
A growing Chinese middle class with disposable income and a penchant
for saving, says Ong, could drive gold consumption in the country to
double over the next decade—which should help boost prices.

has been with the World Gold Council since November 2009; previously,
she was a metals and mining equities analyst for Credit Suisse, in
London. Currently, she is an investment research manager for WGC, where
her role is to research and promote the use of gold as a long-term
portfolio asset.

Recently, HAI Associate Editor Lara
Crigger sat down with Ong to learn more about the supply and demand
factors underpinning Chinese gold consumption, including why jewelry
plays such a big role, how China could affect gold's price seasonality,
and whether the current growth is sustainable.


We've seen incredible growth in Chinese gold demand over the past few
years. What's driving the push?

Chinese gold consumption has been driven mainly by several factors: the
rising average income per head; a surplus of investable income, given
the high savings rate amongst the Chinese people; the underlying
strength of the Chinese gold culture; and the improving standards of
living in China itself.

In recent years, we have seen demand
across all sectors grow for the expanding Chinese middle class,
especially in the 18-karat jewelry market and the industrial sector
(particularly for mobile phones). However, our report and our outlook
are based on the Chinese population as a whole, not just the middle

Crigger: What about the investment side? Are we
seeing growth among the Chinese middle class there?

We do see strong evidence from both the jewelry and investment side;
they are expected to be the chief drivers of Chinese gold demand going

By far, jewelry is the most dominant area of gold demand
in China; it absorbs almost 80 percent of all gold usage! We found that
if gold was consumed in China at the same per capita rate as it was in
India, Hong Kong or Saudi Arabia, then the annual Chinese demand could
increase by at least 100 tonnes, to as much as 4,000 tonnes, in the
jewelry sector alone.

But in terms of investment demand, this
sector has been growing in line with the country's GDP and population.
The IMF and World Bank have forecast Chinese GDP to grow by 10 percent
and 9.5 percent, respectively, in 2010. So we'll also see that
investment demand grow. The Chinese are high savers, and the World Gold
Council expects consumers to look at gold as an asset class as they
continue to build (or, in some cases, rebuild) wealth, while minimizing
the variability of their returns.

Crigger: Would such a
high growth be sustainable over the long term?

Gold demand has grown in China at an average rate of 13 percent per
annum. During the past decade, the Chinese gold mining producers stepped
up production by 84 percent. So Chinese demand growth has continued to
outpace domestic production capacity, and we've seen this since 1992.

China is still ranked No. 2 behind India in terms of demand. And
although we see the acceleration in the demand growth, the country still
has one of the lowest gold consumption intensity rates, if you compare
it to Western economies, or even countries with similar gold cultures,
like Taiwan or South Korea.

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Re: Is gold ready to challenge its all-time high?

Yes -  it will happen in less than 90 days.    Gold will be above $1500 at a minimum by year's end.  It could hit $2,000.    World debt & the corruption of the Central Banks like Goldman Sachs all but make this  a guarantee.