Safehaven | What a Strong Bull Market Looks Like

June 18, 2009

What a Strong Bull Market Looks Like
by Adam Brochert

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.

Adam Brochert
http://goldversuspaper.blogspot.com/

Markets and cycles are my new hobby. I've seen the writing on the wall for the U.S. and the global economy and I am seeking financial salvation for myself (and anyone else who cares to listen) while Rome burns around us.