Why Gold Price Can Drop?

Why gold price can drop recently? In my view, gold is a stable and safe investment vehicle. Recently, I’ve just discovered that gold price drop while the stock market dropping. I think it’s because the investors who held gold have found something else to buy when the price goes down.

usdvsgold

Some people said that gold prices will decline is not unusual as it has often happened early in a new calendar year. You also can refer to the US dollar currency to do analysis as the decline of the US dollar value can result in higher gold price. I’ve explained this in my previous article -> Buying Gold As Investment

How to Decide When is Good Time to Invest?

For those risk adverse investors, they should try to buy gold when touching the 30 Day Moving Average. The 30 Day Moving Average acts like a support line.

To know when to buy, use the 30 Day Moving Average as a guide.

goldpricehistory

However, you need to keep in mind that you buy when it drops lower, and don’t expect it to drop a lot as you may miss out the opportunity.

goldprice

Again, buying gold as investment also need not to do much monitoring because holding gold in the long run won’t let you lose money, you can try to look at the gold price history.

About David Lee

I'm not a perfect person but i deserve better. I'm not a perfect guy but i wil try my best. Knowing is not enough, you must apply. Willing is not enough, you must do. Ideas For You To Become Financial Freedom
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One Response to Why Gold Price Can Drop?

  1. Confused says:

    Can do an Excel spreadsheet for “The 30 Day Moving Average” like normal you do eg: retired plan & etc spreadsheet hehe..thanks.

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