Gold is immemorial; but, as I said before, now is not a good time to enter in gold. Indeed it´s starting to make sense design a portfolio strategy to short gold (invest for a profit when gold price drop), for a certain period of time. Bubbled since 2006 and now its popping. For how long? Maybe during one year or when gold hits $400-500: what happens first (which is, in my humble point of view, the fair price to invest, seeking long time wealth preservation, see chart below) Source here.
HL (see below) is a good prospect to short; GLD, KGC are too.
Is highly likely we are experiencing a change of short-term trend, reversing the bull-bubble market on gold of the last several years. A global recession, a victorious deflation at the short term, a huge liquidity trap we are enter into right now, falling commodities prices, oversupply everywhere, will offset at the short-term the threat on inflationary forces, because the Fed is not printing more money (at least by now; instead, is selling more T-bills which is in high demand) leaving only the huge, mammoth debt as a pending issue, at all counting for inflationary pressure at the short term (2008-09). There are lot of anecdotal evidence everywhere, people are hoarding cash, US dollars to be specific, more than gold. The run for the dollar might not be a coincidence.
As a foot note, Roubini published an article it worth to read.
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