Gold down 5% today (Feb 29)

[Captain1]

Re: Gold down 5% today (Feb 29)

@Southie

^ Gold was down only 1% yesterday at close - not 2%. However, it is down close to 3% today. I have no idea where it will go from here, but what is going on is an indication that speculation played some role in Gold’s huge price movement to the upside.

In the meantime, the stockmarket is up ~ 105% from March 2009 - and has returned ~ 112-114% including dividends in that period.

This also indicates simple dollar cost averaging would have done people a lot of good, rather than panic when things appear bleak, and get over-exhubarant when things look rosy.

Problem with stock market is that ‘entry’ for 100% return is not so frequent, normally when market is down average people stay away, they only jump in when the market has ALREADY yielded good returns to investors then they listen to ‘good returns’ stories and start “investing”… then market starts to slide (the usual story).