Gold’s Bull Market Due to Supply and Demand Economics
October 15, 2009 by goldguru · Leave a Comment
Mark O’Byrne submits:
Gold
Gold is trading at $1.056.50/oz. In EUR and GBP terms, gold is trading at €706.82/oz and £655.25/oz respectively. Resistance currently lies at $1,064.10/oz and $1,070/oz with initial support at $1,048.60/oz and then $1,040.70/oz.
There continue to be very strong fundamentals driving the gold market. These fundamentals are driven by basic economics. There is a small finite supply of gold; while there is a very large and growing very significantly supply of government bonds as governments internationally print money and create public debt on a scale never seen before in history. In the battle between the huge supply of government debt versus the small finite supply of gold, there can be only one winner for the
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