The Stephen Colbert of Economics: Gold Edition
I’m not sure if this technical analysis of gold prices with a target if $3000 is an actual publication, or just something meant for entertainment.
To further inform you about the value of gold, I have done a more comprehensive technical analysis. Here is all you need to know.
Record nominal price: $1889 in September 2011
Record real price: $850 in January 1980
Years needed to climb back to that nominal price of $850 again after 1980: 28
Inflation-adjusted value of that real price today: $2450+
Years needed to climb back to that real price of $2450 in today’s dollars again after 1980: haha, good one. Try some time after the collapse of the 5th American Empire.
Number of people telling you to buy gold in 2001, which would have earned you a return of 18.5% per year if you held it until today (or 21.4% if you sold in September 2011): -5
Peak loss in real value after 1980: Ok, I’m shutting down the calculator. Let’s just estimate an 80% loss from 1980 to 2001. Do a technical analysis on that!
One more hilarious chart for your entertainment: see this technical analysis from the 80s. I think they missed the bight (look it up) curve on the downside and the subcontinental drift.