{"id":24259,"date":"2011-10-04T10:00:05","date_gmt":"2011-10-04T14:00:05","guid":{"rendered":"http:\/\/countingpips.com\/fx\/2011\/10\/04\/technical-analysts-say-gold-is-at-a-bargain\/"},"modified":"2011-10-04T10:00:05","modified_gmt":"2011-10-04T14:00:05","slug":"technical-analysts-say-gold-is-at-a-bargain","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2011\/10\/04\/technical-analysts-say-gold-is-at-a-bargain\/","title":{"rendered":"Technical Analysts Say Gold is At a Bargain"},"content":{"rendered":"

Technical Analysts Say Gold is At a Bargain<\/a><\/p>\n

by Steve McDonald, Contributing Editor, Investment U<\/em>
\nTuesday, October 4, 2011<\/p>\n

Gold is at a bargain – at least that’s what technical analysts are saying.<\/p>\n

The techies described the recent 20-percent dip in gold prices as a bump in an otherwise long bull road for gold\u2026 and the charts support this claim.<\/p>\n

The chart below is for the SPDR Gold Trust<\/strong> (NYSE: GLD<\/a>). It shows a very strong upward trend for gold, and the recent sell-off<\/a> just touched its upward trend line and bounced right off it.<\/p>\n

\"SPDR<\/p>\n

(Courtesy: Barron's)<\/p>\n<\/div>\n

According to Michael Kahn of Barron’s<\/em>, the sell-off is exactly what you would expect from the “parabolic” rise gold has had since last July. This isn’t the end of the run, but a short rest.<\/p>\n

Kahn described the recent dip in gold as allowing the metal to get back to a more sustainable rate of change.<\/p>\n

He also thinks gold is in better shape than silver, and both are in better shape than the respective miners<\/a>.<\/p>\n

Two factors don’t seem to be going away:<\/p>\n