by Tekoa Da Silva, Bull Market Thinking:
Winston Churchill is famously known for having said, “The further back you look, the further ahead you can see,” and indeed, historical precedent is one of the few tools we have at our disposal when studying major market trends, and in today’s case, the trend in gold.
The period most widely referenced and compared to today’s bull market, is the late 1970s. During this decade, gold moved from $35 an ounce, to an intraday peak of over $900 an ounce in January 1980, for a total move of roughly 26x.
When we look at today’s bull market in gold, which has moved from a bottom of $250 an ounce, to where it stands today, at $1400 an ounce—we see a 5.5x total move—a fraction of the 26x move witnessed during the 1970s.
Please follow SGT Report on Twitter & help share the message.