Fool's Gold

Gold bugs are really beginning to piss me off!!

Everywhere I go I hear "Buy gold...the end is nigh!" "Buy coins"..."Buy bars"..."Buy gold funds"

But IMHO they are completely misunderstanding the crisis we are facing: ASSET DEFLATION

...and that includes GOLD!...

Here is a weekly bar chart of GLD, the ETF that tracks gold prices:

There is really nothing about this longer term chart that screams "buy gold;" in fact I think there is a distinct danger of a break below $725 which would send both gold and the overall market down for another fun trip.

EDIT: OCT 22 -- THERE IS A GOOD CHANCE THOSE LOWS WILL BE CHALLENGED VERY SOON....TODAY OR TOMORROW