Do-or-die on gold? Time already to second-guess China? Do geopolitics mean anything? Ha!
I think the inverse head-and-shoulders set-up on the gold chart has the potential to support price and send it to test its all-time highs this year.
Of course, a broad sell-off in risk appetite has the potential to drag gold down with other assets. But it might be worth keeping in mind that gold held up relatively well in 2008 when markets collapsed; the following chart shows the price action of gold, euro, copper, crude oil and the S&P 500 after the credit crunch:
Commodities Essential. 8 March 2012
No new recommendations or adjustments at this time.