Toss Out Your Crystal Ball For Gold

The Market Gage - Gold Silver Market Insights

If there is anyone out there who predicts the future price of gold for 2018, don’t listen to them. In reality there is no way to predict what will happen. Since the election of President Trump just over a year ago, the Dow industrial average has broken records (it seems almost every day) and no one on the Street could have ever imagined the Dow would be knocking on the door at 25,000 at year end.

Many Gold traders I spoke with this year have described the Gold market in 2017 as “dormant” and I can’t argue with them. Along with Equities and Bitcoin, tax reform has been getting all the headlines and unfortunately Gold has taken a backseat.

For those who have been around as long as I have in this business, going on 42-years, you know markets never stay dormant forever. With social media at the forefront of every news story, the markets are virtually one story away from changing paths.

Who knows what will dominate the news in 2018. North Korea, or a bombshell from Special Prosecutor Robert Mueller, or something no one expects out of left field that can immediately change a market’s direction. That’s why I threw away my Wall Street crystal ball years ago.

As much as human nature drives most of us to be “proactive” in trading, these days being “reactive” is a safer trading strategy to adopt.

Many economists expect that 2018 is set up to be the most unpredictable year in modern history.

Will cryptocurrencies make a bigger impact in 2018 or just go away? Will the tax plan benefit the average American family or will the corporations just put the windfall cash in the executives’ pockets and not really share the wealth. Will the Dow see 30,000?

So I think it’s time for all of us to take a timeout from the news and markets to reflect on all of our blessings, from our families, to our friends and our jobs, and to remember that we all are truly blessed to live in the greatest country in the world.

And always when you see a military person or a first responder, thank them for their service. You will feel as good as the person receiving the compliment for this nice gesture.

Have a wonderful Holiday.

Disclaimer: This editorial has been prepared by Walter Pehowich of Dillon Gage Metals for information and thought-provoking purposes only and does not purport to predict or forecast actual results. This editorial opinion is not to be construed as investment advice or as a recommendation regarding any particular security, commodity or course of action. Opinions expressed herein cannot be attributable to Dillon Gage. Reasonable people may disagree about the events discussed or opinions expressed herein. In the event any of the assumptions used herein do not come to fruition, results are likely to vary substantially. It is not a solicitation or advice to make any exchange in commodities, securities or other financial instruments. No part of this editorial may be reproduced in any manner, in whole or in part, without the prior written permission of Dillon Gage Metals. Dillon Gage Metals shall not have any liability for any damages of any kind whatsoever relating to this editorial. You should consult your advisers with respect to these areas. By posting this editorial, you acknowledge, understand and accept this disclaimer.