Article written by Prieur du Plessis, editor of the Investment Postcards from Cape Town blog.
The remarks below come from 86-year old Richard Russell, writer of the daily Dow Theory Letters. Russell has been bullish on gold from just about the start of the nascent bull market in 2001.
“Lately there’s been a tide of uninformed warnings to the effect that gold is in ‘a dangerous bubble’. These anti-gold know-nothings haven’t seen a gold bubble yet, but I’m predicting that a phenomenal gold surge (call it a ‘bubble’ if you like) lies ahead. The only thing the recent gold correction has accomplished is to encourage the gold-haters and to knock the amateur traders out of the gold market.
“Gold is in a true primary bull market, and the bull’s number one task now is to rise with as few riders on his back as possible. This is the reason for recent erratic (and probably scary) gold action. As for my subscribers, my advice is ‘Disregard the amateur warnings and ride the bull’.”
Source: Richard Russell, Dow Theory Letters, January 19, 2011.
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“Disregard the amateur warnings and ride the gold bull,” says Richard Russell was first posted on January 20, 2011 at 10:00 am.
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