Gold’s Record Breaking Run Is Starting To Look Like Silver’s Parabolic Rise Back In April – Right Before It Fell By A Third

As gold makes yet another record high of $1,900 an ounce some analysts are starting to worry that its rise is beginning to look very similar to the huge move made by silver back in April 2011.

After rising 48.4% in less than a month, silver’s parabolic rise was followed by a dramatic 33.7% fall in just 6 days.

Since 1 July gold has risen more than 25% and although a pullback to the 150-day moving average would be a painful experience for gold’s recent buyers, it would do no long-term damage to this gold bull market. In fact a correction to around $1,550 would be entirely normal and would represent healthy price action, particularly after such a big run.

 

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