Gold vs. The S&P 500
Posted By thestatedtruth.com on April 6, 2010
A DISCRETE BULL MARKET
Gold’s major trend has been up for nine consecutive years, yet the investing public has barely begun to invest. It’s not well known that this bull market even exists. This in itself is bullish because it means the 375% gain over the last almost decade will be pale compared to the potential this second phase of the bull market could have.
The markets are one big ball of mass emotions. And in many ways, the first nine years of the stock market’s mega bull market rise from the mid-1970s through the 1990s was similar to this bull market rise in gold.
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Chart 1 shows the S&P500 from the 1974 major low to the 2000 peak, compared to the gold market from its 2001 low to the present. Here you can see the similarities of the first nine years.
In both cases, the rise wasn’t generally noticeable because another overpowering market was the main focus. In 1974-1983 the gold market was the flurry, not the stock market. Since 2001, it’s been the stock market flurry, which carried over from the tech and global boom, that has had more attention.
This is not to say that gold today is where the stock market was in 1983, ready to embark upon a mega decade bull market, but it could. These similarities and many others suggest that gold’s bull market has much further to run.
From The Aden Forecast
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