Gold pattern pointing up, page-128

nonsense. people buy gold because of its long term tendency to be a safe store of value - against devaluation in paper currencies (eg inflation).

it doesnt alway perform that function at precise points in time - as ive said elsewhere. eg in a crash gold tends to go down with equities

but equally - just because shares often go down for 6-12 months at a time - doesnt mean they don;t create capital appreciation.

a mistake a lot of researchers make for eg is they use USD gold price to research gold;s behaviour.

So when US interest rates rise to combat inflation - USD rises soUSD gold falls - and so they think gold price isnt effective vs inflation

But as weve seen in past 12 months - while USD gold price was falling AUD gold price is rising. Gold's value stayed pretty much unchanged,

Gold has to be seen through all major currencies to get a sense of its true value - not just USD