Gold price July to November 2009

 source: Live Gold Price (6 November 2009)

Mike Maloney has some great videos on his site educating any potential investor about gold, and its increased demand as a surrogate currency in times of economic instability. As well as being an investor himself, Mike has taken it upon himself to study the history of gold price fluctuations, and he is quick to point out that, for over 3,000 years, any time an empire’s stability was in some way under threat, people would use gold as an unaffected investment.

 

If you look at the graph above, I’ve highlighted the fact that the upward trend in the data from July of 2009 until November 2009 shows increasingly large upward oscillations, as if the price is gathering significant momentum. Mike believes the price of gold has a long way to go before it plateau’s out at a new all-time high. If he’s correct, then it’s time to sell shares and swap them for gold.

I’ve been following the price of gold over the last couple of months, and notice that it seems pretty much impervious to the chaotic, unstable world of stocks and shares.

So maybe it’s time to think about changing the way we invest? What do you think?

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