It’s always a good idea to keep your eye on the big picture for gold, suggests Mary Anne and Pamela Aden, editors of The Aden Forecast — and participants in the Money, Metals & Mining Virtual Expo, streaming live on December 6-7. Register here for free.
This tells you to be patient, keep your positions, the trend is in your favor and so are the fundamentals. It gives you the strength to know and understand why holding gold long term is a great investment providing security.
The chart below shows the gold price since 1967. You’ll notice ever since the gold price moved in the free market, it’s formed clear cycles.
First, note the 11 year bull market cycles in blue. And ever since 2015, today’s 11 year bull market has been underway. Assuming these cycles continue, gold could reach a record high in 2026-27. This is what we have to look forward to.
Now looking at the lows in red, they’re reached every 7-8 years. These are the lows where the 11 year rise begins. The last 7+ year low was in December 2015, which was where the current 11 year bull market started. The upcoming 7+ year cyclical low could occur as early as December 2022 or into 2023. Or it could be happening now.
So more downside is still possible before we see a sharp bull market get started. That is, don’t get discouraged if we see the latest sharp rise fail to reach new highs. It’ll be just fine. Of course, if it takes off from here, it’ll be incredible.
Stay focused on the major uptrend and major bull market growth in the coming years. If you want to add to your portfolio, buy the stronger shares including Wheaton Precious Metals (WPM), Franco Nevada (FNV), Agnico Eagle (AEM) and Hecla Mining (HL).
Among exchange traded funds, we are also recommending iShares Silver Trust (SLV), VanEck Junior Gold Miners (GDXJ), VanEck Gold Miners (GDX) and SPDR Gold Trust (GLD), as well as physical gold.
Meanwhile, an intermediate rise we call the "A rise" has started. Gold is firm in the rise by staying above $1700, and it could rise to the $1800 level, which is near the 23 month moving average. A clear rise above $1820 would show unusual strength for an A rise.