Will the price of gold begin another leg down on May 31? I ask that question as an echo of my May 1 blog where I noted that if the market behaves now after April’s sharp tumble in the price of gold as it did after the peak of 1980, May 10 and May 31 would be critical days.
Sure enough, May 10 arrived and so did the expected weakness in gold’s price.
There are people who study market trading patterns and are very learned on the subject. They apply all sorts of formulas that are well beyond my competence.
I merely counted days from the high and observed where each spasm of price weakness set it. That’s how I determined to watch May 10 and May 31.
If both of those dates hold, then I will look at the third date, June 19, which is the point at which the market will bottom.
Buzz blogger Dave Harper is editor of the weekly newspaper "Numismatic News."