Gold bull trend's third wave up is just at the beginning stage, evidenced by the lack of participation by retail investors and regular man on the street, still missing in action. Gold bull trend still has a long way up to go both in "Time" and "Price". Here are some of the factors that should continue to support gold's upward price tragectory.
- 1. Bretton Woods II is just about to begin this weekend, with the meeting set to commence on 8th April 2011 in Bretton Woods. The main purpose of the upcoming meeting is the establishment of the New World Reserve Currency to replace the US dollar, and that is very very bullish for gold, as the new reverse currency may have to be partially back by gold.
- 2. The Collapse of Europe, which started with Greece, Ireland and now Portugal. After Portugal will be Spain, then Italy. Saving these countries will require massive amount of money-printing by the European Central Bank.
- 3. The coming collapse of United States of America, but before that happens, the US Federal Reserve will print money into oblivion.
- 4. Unrest in the Middle East, which both the European and American governments co-engineered in order to divert attention away from their collapsing economies. The current unrest can get out of hand very quickly and thus bullish for gold.
- 5. The most important factor is the continual money-printing at an accelerating pace out of thin air by the US Federal Reserve, flooding the world with useless paper dollar, triggering massive inflation worldwide. There is no end in sight for the Fed's money-printing to finance the ever-increasing US budget deficit.
