[BubbaBasher]

Is it too late to buy gold now? The price is already very high. I got burned buying gold before Y2K and had to liquidate it in 2002 at a loss of $50 per ounce. I don’t want to do that again but the inflation monster is headed our way and growing larger every day.

[sourcery]

Now is not a good time to buy gold. The trend is currently down. It could go down all the way into the $600s (not that it will, but it would be consistent with the chart patterns.) Nevertheless, I strongly believe that, eventually, gold will be trading for many thousands, even many tens of thousands, of dollars per ounce.

But I will only act on that belief when the chart patterns say there is a high-probability entry point to go long. Not there yet. And if my entry point isn't right, I will exit before taking very much of a loss, and wait for another opportunity to get in. I may have to do that several times. But the strategy will work, as long as the total loss on failed trades is much less than the total gain on successful ones. You need a trading system that makes such a result highly probable over any sufficiently large number of trades—and "cutting your losses short" (quickly exiting losing trades) is absolutely essential in that regard.

Recommended reading: Trade Your Way To Financial Freedom (Van Tharp)

[dangerdoc]

You can’t eat gold.

If you thing the sh!t is going to hit the fan, invest in canned food and ammo.

[tbw2]

Stock up on instead:
food
medicine
ammo - good trade good that may become illegal
beer - widely accepted
alternative currencies in cash form
car oil - - good trade good that may become hard to get
freon / cleaning supplies