Technical & Historical Key Takeaways

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This chart analyzes the historical price cycles of Gold (XAU/USD) over the past decades, focusing on the alternation between long bull runs and prolonged bear markets.
You highlighted clear phases:

1970 - 1980: 10-year Bull Run

Massive price rally, followed by a sharp correction.

1980 - 2001: 20-year Bear Market

Prolonged sideways and downward movement.

2001 - 2011: 10-year Bull Run

Strong upward trend, reaching new all-time highs.

2011 - 2016: 5-year Bear Market

Significant correction but shorter in duration.

2016 - 2025: 10-year Bull Run

Another strong bullish phase, possibly ending in May 2025.

🔮 Scenarios projected:
Scenario 1 (Blue path):
A shorter bear market (5 years) similar to 2011-2016 correction, then continuation of the long-term uptrend.

Scenario 2 (Yellow path):
Gold enters a long-term 20-year bear market, similar to what happened post-1980.

You are asking if Gold is now entering a short bear phase (Scenario 1) or will fall into a multi-decade bear market (Scenario 2).

Cyclicality of Gold:

Gold has shown repetitive cycles of 10-year bull runs followed by either short (5-year) or long (20-year) bear markets.

These cycles seem to reflect macroeconomic shifts (inflation, interest rates, global crises).

Current Cycle (2016 - 2025):

If we respect the pattern, May 2025 might mark the end of the current bull cycle, opening the door to a corrective phase.

Scenario 1 favors a soft correction:

Based on the last cycle (2011-2016), a 5-year bear market might occur.

This would keep the long-term bullish trend alive, especially if macroeconomic conditions stay inflationary or geopolitical risks remain high.

Scenario 2 warns of a harsh bear market:

If history repeats the 1980-2001 phase, gold could enter a multi-decade bear market, driven by reduced inflation fears, strong dollar cycles, or financial system stability.

Key Indicators to watch:

Real interest rates.

USD strength vs global currencies.

Demand from central banks and emerging markets.

Geopolitical tensions and inflation expectations.

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