- December 24, 2008
- Posted by: Ramki Ramakrishnan
- Category: Gold
Yesterday someone told me that he has been long Gold and is very happy. I remembered that sometime back I had posted an update saying that Gold will eventually move below $650. I am now saying that we will go even lower, perhaps to $560-580. How do we profit from this call? There are two or three things we could do. First, if one is long already, it is time to think of where he/she should get out. Anything close to 880/890 should be terrific. Second, if it starts coming down rapidly, don’t wait for a recovery to get out. Third, see what happens when we reach 880/890. If it stalls there and starts moving down, join in the selling with small amounts, and keep adding as it moves down. You can’t pick a top in the complex correction that is going on.Here are two charts for you.