Just my view on gold very long term.
Secular bull market that started 2001 - 2011 initiated after 6 years of price depression, which can be seen as a multiyear cup and handle formation.
We might have the same history again as 2013 - 2018 has been a period of price supression, and 2019 could be the start of a multiyear secular bull market. Projecting a similar move of that of 2001-2011 it would give us a target price of 6000$ in 2026.
Completely reasonable if you take into account:
Secular bull market that started 2001 - 2011 initiated after 6 years of price depression, which can be seen as a multiyear cup and handle formation.
We might have the same history again as 2013 - 2018 has been a period of price supression, and 2019 could be the start of a multiyear secular bull market. Projecting a similar move of that of 2001-2011 it would give us a target price of 6000$ in 2026.
Completely reasonable if you take into account:
- - Ultraexpansive monetary policy that might lead to high inflation in the coming years and destroy purchasing power of fiat money. This will be preceded probably by big deflation in the coming months given the coronavirus crisis, just see oil crashing to -40$.
- - Political risk: rise of protectionism and populism (see Ray Dalio on YouTube for more about this).
- - ZIRP in US and NIRP in EU that will crush fixed income investments in the coming years.
- - Credit crisis that might lead to literally hundreds of thousands of defaults around the world in the next months.
- - Potential stock market crash if FED policies and pumping does not work (we'll see that in the next few months).