From Avi Gilburt: For those that follow me regularly, you will know that I have been tracking a set up for the GLD as a proxy for gold. I believe that the GLD can outperform the general equity market once we confirm a long term break out has begun, and I still think we can see it in occur in 2018. This week, I will provide an update to the GLD. While I have gone on record as to why I do not think the GLD is a wise long-term investment hold, I will still use it to track the market movements.
I want to start this write-up to dispel the notion of the metals being a “safe haven,” as many in the media are now parroting. I have discussed this topic many times in the years I have been writing, but I just want to set everyone straight on this issue as it rears its ugly head yet again.
Every time the media sees the metals rally when the stock market declines, they begin to parrot the ridiculous claim that the metals are a safe haven for market volatility. Anyone who makes such a claim knows nothing of market history. If they did, they would not ever make such a claim.