Gold to Continue Upward Trend

Gold is an important part of any investment portfolio. The commodity usually increases when there is economic chaos, or when there is inflation. Gold broke though $1000 today (it’s highest in over a year) showing economic strength as inflation rises once again.

Taking a look at the long term gold chart below, you can see the classic flag pattern which will lead to massive gains since the fundamentals are sound. Some CEOs think gold can move past $1200 in the near term.

In the past, gold moves so fast that it is said not to touch the sides. There was a small pullback at the end of the day. You may be able to get in one of the Recommended Plays at a good price.

Recommended Plays:
BUY:

Gold – Buy the commodity as it is going higher!

Gold ETF (NYSE:GLD) – The gold ETF that tracks the price of gold will move almost exactly the same percentage as the commodity itself. This is great to own especially if you don’t want to buy an actual physical piece of gold.

Eldorado Gold Corp (TSE:ELD) (AMEX:EGO) – One of the lowest-cost gold mining companies out there that can profit huge from the large increase in gold prices. They just made an acquisition which will even further increase their gold production.

Yamana Gold (TSE:YRI) (NYSE:AUY) – A midcap gold producer that greatly benefits when the price of gold goes up. Last year when gold touched $1000 they tripled their dividend and the stock skyrocketed at $19.