Brodrick: The War Cycle Is Bullish for Gold and You Should Be, Too
Brodrick: The War Cycle Is Bullish for Gold and You Should Be, Too by Sean Brodrick for Money and Markets
It looked like America was at the brink of war with Iran, with missiles flying in both directions. As fear spread, gold surged to a seven-year high. Then the two nations stepped back. “Iran appears to be standing down, which is a good thing for all parties concerned,” President Trump said.
My take: Don’t breathe easy just yet. There are powerful forces at work that are increasing the likelihood of more armed conflict. And there may be little President Trump can do to stop it.
The good news, if there is any, is that the “peace is breaking out” announcement sent gold lower. And this gives you an opportunity to load up before the next big surge higher.
Why do I think gold will go higher? It’s affected by the War Cycle.
I’ll explain what the War Cycle is in just a bit.
America’s face-off with Iran is arguably the most serious geopolitical development in many years. But traders believe that things in the Middle East will continue to calm down. And that gold prices will slump even lower.
I’m expecting a pullback … one worth buying. Because of something that isn’t even on the radar of Wall Street traders. Something that could send gold SOARING.
I’m talking about the War Cycle. This is something that Weiss Ratings has tracked for years.
While wars can appear to be triggered by random events — like the assassination of Archduke Ferdinand before World War I — the truth is they’re the result of social and economic forces that build up over time.
Historians and social scientists have studied these forces for hundreds of years. But in the last century, a few mathematicians, cultural anthropologists and sociologists have noticed something:
There Is a Regular Pattern to the Outbreak of War
In fact, the social and economic patterns that make war likely are almost as predictable as the movement of the sun across the sky, or the changing of the seasons.