Inflection point

Last week’s move by the dollar price of gold into new high ground is an event of considerable importance; an importance barely appreciated by the vast majority of market observers – hardly even by gold bugs. They miss the point by slavishly following the interpretation of markets by charts to produce their price forecasts.  

This myopic approach is little more than guess-work and is inadequate analysis, because there are powerful forces at play. The two that are most relevant are the economic background and the market dynamics for gold, both of which have arrived at important inflection points, where everything seems about to take on a new direction.

More at: http://www.financeandeconomics.org/Articles%20archive/2010.09.21%20Inflection.htm