Gresham’s Law says buy the dip

Nervousness in precious metals is not going to stop the gold and silver bull market. Underweight portfolios are beginning to drive prices through ETF accumulation.

This week, Friday’s selloff continued with both gold and silver drifting lower. In European morning trade today, gold was $4065, $295 lower than last Friday’s close, and silver at $48.10 was down $4.30. On Comex, silver’s volume dwindled while in gold it merely declined.

This one-week selloff appears spectacular but should be observed in the context of the previous rise. If support at $4000 fails, the gold chart suggests that support will then