Why I’m Not Buying Gold

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I realize a lot of folks see gold's current prices as an – umm – golden opportunity. I mean, the shiny metal was over $1200, and now it's "on sale" for nearly $200 less. A bargain, yes?

Well, maybe. Gold's future price depends on a lot of factors. But for now, I'm staying away. Here's the long-term GLD chart, clearly showing the broad upward trend:

0201-GLD 

But, looking closer, you can see GLD has broken an important trendline, and today's push higher has been nothing more than a reach for the underside.

0201-GLDCLOSE