Since the investment in gold is so hot, and some investors who have credit cards begin to use them for investing. They can well use the card function of withdraw amount in advance and free interest. After the gold price floats, they pay back the bill. So they can both enjoy the abundant profit and integral. Still, banks can afford you kinds of small gifts for the integral. It does make the best of both worlds.

It seems to be simple in theory, but it’s not when it operates. 

The price of gold is based on the opening price plus certain charge. Most the charge is about over 10 yuan. So if you want to win profit, there should be equivalent up-float in price. Gold is not product of “much profit in short time”. They may perform well in certain good market situation. The minimum unit  for least investment is often 10g. You need quantity of at least scores for mcuh possible profit. Based on the price now, it is a large sum in capital.

The interest free period is minimum 25 days to maximum 50 days. While, all banks don’t have gold provided immediately. Investors need to wait for about 20 days after they pay. And the interest free period begins right on the day. So they have to consider the following factors. Which day they consume is with the longest interest free period?  How many price up-float will bring them profit? Does it surpass the interest free period for the capital to reach the account within 5 to 7 days?

So, by consideration from all factors, it’s not an easy business as you imagine to invest in gold by credit card. You can try some gold fund for instead. Maybe it is a better choice.

Many people feel anxious about the present gold price, as they think that the price is close to its demise. But they should understand that gold is still badly undervalued.

As the matter of fact, back to last Sept, the gold price has reached $1,000 already, but that is not a very significant price. Later, from Nov, 2009 to now, the price stays at the level from $1,100 to $1,250 per ounce.

(36 year gold price history in US Dollars per ounce.)
In 1980s, the gold price reached a historical high point – $850 per ounce, however, if you think $850 an ounce was high, then you should know the inflation-adjusted price would be $2000 per ounce.
So, the real ascent of the gold is just beginning, and it will get everybody excited with incredible value in the future. Besides, this beginning also explains the reason why more and more investors are entering the physical metal market.

(5 year gold price history in US Dollars per ounce.)

What you see above is the chart of gold price from 2001 to 2010. In the first five years, the yellow metal firstly started bull market with reaching a high end. However, later, the track turned back in a long period before reaching another new level. In year 2006, the gold price crossed $500 point, and what followed by is another bull market until now.

Lots of people believe that there is a very big correction for the gold, just like the one we have seen from year 2001 to 2005. However, I can not totally agree with them, in my opinion, the gold is starting a new pattern which will propel gold price to another historical level, some point around $1,500 per ounce later this year, and even much higher in the following a few years.

There are a few things, which have been changed since the gold price crossed $500 point in 2006.

First, central banks in countries are not net sellers any more, instead, they are now becoming the net gold buyers. Central banks throughout our planet control 19% of above ground gold supply. They now keenly noticed the depreciation of dollar and urgently seeking a safe port to against currency risk, and gold is definitely the right port they need. As time goes by, we see more and more central banks are cornering gold.

Second, as what people can see, the new pattern of gold is urging retail buying and fund companies to place more orders on gold. Every time, when we see a correction of gold price, new orders will be placed, these new orders can keep the gold price strong, and make corrections ended very soon.

As gold price reached $500 in 2006, we are expecting seeing new high points within a short period of time. The market is quite different from the year 2001 to year 2005, when we only could see one high point in every 12 months.

Personally, I am very confidence in the trend of gold price, and much willing to remind investors to check the gold price regularly.

With the time goes by, the U.S. dollar will getting much worse. Besides, there are many other bullish factors, which will contribute gold price to a new level. More money will be invested in silver, gold as well as other precious metals.

And here we give you our suggestion. You shall not worry about the day-to-day, week-to-week or other short-term movements of the gold price. The right things you need to do is buying super-quality gold mining stocks and physical metals, and then keep what you buy in a long-term period, you will have yourself became rich.

It is not anything big if you did not buy any gold after that.Because,you do not lost anything while the gold market is become good and maybe you had done some other kinds of investments which might have brought you great profit.But just in case,you have read my post and did some great investments.Then I do have some nice news for you.The gold in 18th Nov,2009 has broken $1,142 per oz.You can check the chart here below for gold price on 18th Nov,2009.:

Gold price on 18th Nov,2009.

What is that standard for you guys who want to become rich.The gold price in 22th Sept was just at some point around $1,000 per oz,if you had done some investments,now you can easily calculate your profit:

Gold price from 22th Sept,2009 to 18 th Nov,2009.

$Profit = ($Ps22 – $Pn18) × ($Invest-amount);

So how is your income?Anyway,you still can keep the gold as a money investment form,the gold will not make you lost money as the dollar is still weak,more people need gold both as a commodity and Investment.

I am much pleased to keep you informed with the gold market when there are some nice signals appear.

Even the gold price reaches a new level,this is not going to changed for inflation.If you talk the inflation into the consideration, you will find that the gold price should be over $2,000 per ounce.That will be a new record.Personally,I believe the gold price will hit $2,000 or even more in the following years and here is my personal ideas.

No.1,Gold is a commodity,and for all the commodity,the secular bull market can last up to 5 years.So there is still a long period for strong gold.The biggest price will be available in the latter stages of the bull market.

No.2,Gold always a safe-haven for investment.The value can be maintained or even increased throughout the ages.Since the world is still under recession,gold is still a good we should hold,it is definitely a good bodes for the price of gold.

No.3,The U.S. Dollar is still weak,and we do not now when the dollar will be strong again.For some fundamentally and technically reasons,it will not recover back soon.

No.4,The economy is still under recession and the US government is printing money.That makes the inflation even worse.People need a save investment before the major inflation comes to us.

No.5,The supply of gold is slowing down.Global central banks supply the majority of gold to the worldwide gold market.However,the supply has been slowed down recently.

No.6,the demand of gold is increasing sharply.especially in those developing market such as China,India.People in these countries are becoming rich and they need a safe to store their money,especially under the current economy climate.StreetTracks Gold Trust,is the largest gold exchange traded fund in the States is only four years old.

No.7,Many countries want to make their currency the world currency.Since the dollar is going down,many countries are thinking to switch their currency to world currency.In another words,U.S. treasuries might be depreciated any time.Therefore,if countries like Japan,China as well as other countries switch U.S. treasuries to Gold,the gold price will rocket into the sky.Besides,if those countries want to make their currency to world currency,they need enough gold to support their currency.

People can not tell how much the gold price will be,but it will be increased.There are many factors to make the gold price move to high point.