There is a historical indication that the bull market in gold, as phenomenal as it has performed in the first decade of the 2000s, is just about to really take off. We have the 1970s, the time of Nixon policies breaking down Bretton-Woods at last, and an oil and price crisis, as a guide.
I think we can expect much higher prices within the next year, or two. At present, we don't really see this happening. Gold has been floating at a disappointing price range for one and a half years now. But then, the gold price wouldn't have much further to go, if its rise in price was expected by many.
As late as 1977, five years after Nixon removed the reserve currency dollar's tie to gold, people were making snide remarks about gold. This had to do with gold's price falling like $14 or something. Little did these people know that this was a tiny correction, because even the most bullish assets correct themselves during their run.
Today, we have experts of the same mind brushing off gold as obsolete. If you had a choice, or if it was your money on the line, would you bet on them, or against them? As for me, I am secure in my reasons for holding gold, and it is infinitely preferable to any currency, in the long term.
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