Gold and Silver 'Bubble' Has Long Way to Go


"I see nothing like a bubble yet."

Although this looks like a giant bubble, it is more like an upside correction to a greatly exaggerated, downside over-correction last October.

Chris Weber, writing for Steve Sjuggerud's Daily Wealth made some observations that I have to agree with and is confirmed by my own experiences. He writes:
This bullish sentiment has led many people to ask me if gold is far too popular now. . .or even in a "bubble."
My answer: I see nothing like a bubble yet. Ask your friends or neighbors these questions:
"What do you think about gold or silver as an investment?" and if they answer in a positive manner, further ask: "What are the best ways to own it? How do you own it? What percentage of your assets do you have in the precious metals area?" If this seems too invasive, ask, "What percentage of a person's assets do you think should be in the precious metals area?"
Thursday gold slipped back below $1,000 and silver to $16.27. This scares the uninformed and the unconvinced, and sets the stage for the next big move upward for gold, silver, and the producing-mining stocks.

As Chris Weber said at the end of his article:
When everyone you know is talking about how to make "easy money" buying gold or silver, then we may be in a different era. But right now, I think both metals have more room, and most likely much more room, to go.
I couldn't agree more.

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