Gold nearing breakout to $3000 USD

The price of gold and silver can only be manipulated downward so much; the cost of mining the bullion provides a hard floor for the phony electronic price we see on the chart. I feel gold is headed past 2000, toward 3000, and silver is going to break out to new all-time highs well above $50 per ounce.

I don't make gold price predictions every day. But when I do, I end up being right. That's why people take note when I make a post like this one.

Gold is ready to go to 3000 USD.

Maybe it doesn't take a genius to see it, but then again, if this was easy, then wouldn't everybody be making millions off gold's price action, and wouldn't all analysts always get their predictions right? Turns out, it's not as simple as it looks to the untrained eye.

Here's my reasoning behind the above prediction.

Fundamentally, there are a couple huge factors pointing to a coming bull market.

One is war. War historically sets off gold bull markets. Right now, we appear to be on the brink of WWIII, as the USA and NATO countries are pushing Russia by supplying Ukraine with training, funding, and weapons. In the past month, attacks on Russian soil have increased, with 3 airbases being blown up just this week. Russia has said it will defend itself if provoked, and has the firepower to do so. I don't think most investors fully comprehend how close to all out war we are. If that happens, gold will spike higher.

Two is inflation. Governments around the world, especially the USA, have created trillions of dollars from thin air in the past 3 years. We are already seeing the beginning of price inflation hitting food and other goods, but commodities have yet to realize major gains. Until manipulation ends for good, gold won't account for all the currency being created, or it would be tens of thousands of dollars per ounce. But it's certainly going to notice the inflationary pressure at some point. 2023 is probably when that will really kick off.

Then there's the chart:

At about 1800 USD, we are nearing the psychological resistance line of 2000. Gold has spiked above that level a couple times before. At some point, it's not going to come back down, but use that as a launching point toward 3000.

If war and inflationary pressures push gold's price above 2000 USD again, a 30-50% move within a year can be expected.

Have a look at the 20 year chart. It begins at $300. After a sustained bull run to $1000 in '08, gold took a break during the global economic downturn, then made another strong push to 1900 in '11. Then we had a bear market to $1000 in '16, and consolidation until 2019, followed by another bull run to $2000 in the past couple years.

Is that trend about to stop? Of course not. For that to happen, the underlying cause of this pattern would have to change. In other words, the Federal Reserve and other central banks would have to stop printing phony currency by the trillion. That would mean an economic collapse the likes the world hasn't seen since at least the Great Depression, or possibly ever. The global fractional reserve banking system would have to be dismantled, and they're not going to do that voluntarily. It would mean a complete change in how the world works. (And even in that case, precious metals mean safety, and will retain their purchasing power.)

Barring that, the trend is going to continue, and accelerate. $3000 gold isn't a crazy prediction. In fact, it's a foregone conclusion if you're aware of the fundamentals involved, and can see the price action over the past couple decades.

Silver

Myself, I'm a silver guy. I can afford coins made of silver, but really can't often justify spending hundreds or thousands on a little piece of gold. Also, when precious metals have a bull market, silver does FAR better than gold does. Gold might be headed for a +40% move, and if it is, that means silver will be tripling in price - or more. Silver always corrects too much in the bear market, and spikes too much in the bull.

If you can, think about grabbing yourself some silver bars. Do it sooner rather than later. Silver is currently barely above the cost to produce it, and global above-ground stockpiles of the metal are at an all-time low. Banksters don't want silver and gold to shine, because that takes away attraction to their worthless product, fiat currency. But they only have so much control.

The price continues to grind upward, decade by decade. Exactly whch years will be the big "UP" years, we don't know. But we know which way things are going.

And right now, all indications point to a coming surge in prices. Having some metal tucked under your mattress or in your safe seems like a very good idea.

You don't hear a lot about gold and silver bullion right now. It's quiet, it's boring, it's not doing much. And that's how things generally are, right before they get hot and wild again.

The hot and wild times are coming.

DRutter