Wednesday, 5 December 2012

Goldman Says Gold May be Near a Peak

If there has been one thing over the years that I have learned. It is this. Do the opposite of whatever Goldman Sachs says. This is the most positive statement I have heard for the Gold and Silver markets in some time. Expect Gold and Silver to rally near the end of December.

Excerpt from the Globe and Mail:

"Goldman Sachs lowered its gold price forecasts across the board on Wednesday, noting increased chances for weakness.

While we see potential for higher gold prices in early 2013, we see growing downside risks. As a result, we find that the risk-reward of holding a long gold position is diminishing,” the bank said."

The risk-reward of holding a long gold position is diminishing? You could of fooled me. The rewards only seem to get greater and greater everyday. Regardless of the short term manipulated price changes.

- Source, Globe and Mail: