Why The Gloom And Doom Predictions On Gold Are Dead Wrong Start the conversationLeave a Reply Click here to cancel reply.Your email address will not be published. Required fields are marked *Name * Email * Website three + = 12Comment Some HTML is OK Sign me up for the Money Morning newsletter By Money Morning Reports A recent "Death Cross" indicator point's to gold's imminent collapse, according to many leading technical analysts.But Money Morning's Chief Investment Strategist Keith Fitz-Gerald, says the "Death Cross" is flat out wrong.Despite the fact that gold prices have indeed plummeted 16% since last summer, Fitz-Gerald thinks the drop is simply due to speculative players abandoning gold for the dollar because it's "the best looking horse in the glue factory." And he doesn't see that trend lasting much longer."I see gold rocketing out of the basement after it consolidates," says Fitz-Gerald. Editor's Note: To see how high gold will climb and to position yourself for the biggest gains, . A "Death Cross" occurs when the 50-day (short-term) moving average crosses below the 200-day (long-term) moving average. According to technical analysts like Richard Suttmeier of Value-Engine, it means that gold could lose the momentum to move higher. But Fitz-Gerald, author of the critically acclaimed best-seller Fiscal Hangover: How To Profit From The New Global Economy doesn't see any technical indicators with enough power to erase the fundamental forces driving the gold bull market. "The drop in prices we're seeing is simply a matter of traders adjusting their risk tolerance by taking money off the table," says Keith. "They are moving out of gold and into dollars." Just this week, three major central banks announced policy changes that will introduce even more liquidity into the markets – a major trigger for gold prices. And according to the World Gold Council, central banks have increased their gold collections by 400 metric tons in the last 12 months through March 31. The big mistake many traders are making right now, Fitz-Gerald says, is viewing gold as a "speculative play." Fitz-Gerald who appears frequently on Fox Business, and Marketwatch, was one of the few professionals anywhere in the world to correctly call the dot com collapse in 2000, the cyclical recovery in 2003, and the credit crisis in 2007 – a full year in advance.That call alone could have protected his readers from the collapse and made them a small fortune while everyone else was losing their shirts. "Take advantage of the relative lull in gold prices now to make sure your holdings add up," he says. Editor's Note: Money Morning just put together a comprehensive guide for potential gold buyers and new gold owners. It’s called How to Buy Gold: Where to Find the Best Gold Bullion, Certificates, Stocks and ETFs on the Market Right Now. Inside, you’ll learn why gold is set to break out in coming months – and how to turn that break out into cold, hard profits. The best part? This report is free to new Money Morning readers. You can get it Around The Web Get $28,396 Worth Of Stock Picks For $5 The Quickest (And Cheapest) Way To Get Rich It's Called The Matrix: If you're an idealist about free markets, don't watch this. If You Or Anyone You Know Is Thinking About Silver…2 Explosive New Picks For You Money Morning Executive Editor Bill Patalon has given his readers as many as 45 winning recommendations in as little as seven months. But look what he's doing now. As you'll see, Bill's uncovered two explosive new picks. And he wants to give them to all new subscribers. Wait till you see what's in store for these companies. Just click here and you'll immediately understand.