$GLD - 8 and 11 Year Cycles in Gold

The Aden Sisters have published a very interesting gold chart. The chart shows important lows occurring every 7 to 8.5 years since December 1969. The fascinating thing is that in all cases except one, gold rallied to a significant peak ~11 years after each 8 year low.

Should gold continue to follow this pattern, we'll see an important peak in gold in ~2011-12, followed by an important low in ~2016, with another major peak in ~2019.

The ~2019 projection of a major top is intriguing because Terry Laundry writes about 20 year gold cycles, and forecasts the current gold bull trend to end in ~2020.

Terry also suggests that ~2016 could be the 40 year cycle low in stocks.  If there's a huge sell off in equities, gold could go down for the ride.  See the summer and fall of 2008.