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Currency Wars Continue and then Intensify

fiat currencies of the developed nations are being devalued. So while ‘cash’ may seem safe, it may not be, depending on what happens

http://jessescrossroadscafe.blogspot.com/2011/01/gold-weekly-chart.html

Will those waiting for a chance to get back into the gold bull market buy into position if it drops to 1390? Or even 1250?

If they did not buy into the worst correction down to 700-50 on this chart then they will probably not. Once you lose your position in a bull market it is very difficult to swallow your pride and climb back on board. One tends to keep waiting for THE low.

Gold is rising because the fiat currencies of the developed nations are being devalued. So while ‘cash’ may seem safe, it may not be, depending on what happens next. I am struggling with the notion that a hyperinflation will occur for reasons previously stated. It CAN happen, but it would take a series of policy blunders and some event for it to happen. And the Fed has the means to stop it, although they may not have the latitude politically or the will.

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