"Gold needed a correction. And, if it was going to happen, where should it go? $1,200 was between 35% and 40% (lower, from its high of more than $1,900 in 2011) and 35%-40% reactions are commonplace, so that was the first number. I wish I could tell you I had a formula.
"But I’m not sure we’ve found the final bottom yet; it would make a lot of sense for gold, having had 12 years up, to have at least a longer consolidation, a longer correction ... my view is that gold is in the process of making a complicated bottom, which could take a while.
"There were lots and lots of mystics who were convinced that gold was holy. That gold could not go down, that gold had to go up. And that’s the reason I think gold hasn’t made its final bottom yet. It’s because there are still lots and lots of people who tell me gold cannot go to $1,200 … people who think this can’t be happening or it’s being manipulated and there’s all sorts of excuses for what’s going on.
"You know, when you have true believers you usually don’t hit a true bottom until most of those people get washed out. I suspect that is still to come. I don’t think many have sold their gold yet.
"I expect gold may go down even more, to $1,000, to $900. A 50% correction would be $960 or whatever it is. Now 50% corrections are quite normal in markets. And that might go some way towards shaking out some of the faithful...."
Jim Rogers started trading the stock market with $600 in 1968.In 1973 he formed the Quantum Fund with the legendary investor George Soros before retiring, a multi millionaire at the age of 37. Rogers and Soros helped steer the fund to a miraculous 4,200% return over the 10 year span of the fund while the S&P 500 returned just 47%.
Who is Jim Rogers ?
James "Jim" Rogers was born in Oct. 19, 1942 and grew up in Demopolis, Alabama .Jim Rogers started trading the stock market with $600 in 1968.In 1973 he formed the Quantum Fund with the legendry investor George Soros before retiring, a multi millionaire at the age of 37. Rogers and Soros helped steer the fund to a miraculous 4,200% return over the 10 year span of the fund while the S&P 500 returned just 47%. They ran what is considered to be one of the first truly global macro hedge funds. . In 1964 he got his first job on Wall Street at Dominick & Dominick in the summer between high school and Yale University, that's how he got his first experience with stocks and bonds. He immediately fell in love with the job. After Oxford, he returned to the U.S. and joined the army in 1970 he returned to Wall Street, working again with Dominick & Dominick. That same year he joined Arnold S. Bleichroeder, where he met George Soros, and together founded the Quantum Fund. This has opened a new era of global macrotrading and inspired numerous imitations and spin-offs. In the book "Money Masters of Our Time," Jim Rogers writes about that time "the most important thing in my life was work. I did not do anything until I had completed my work." To emphasize this professional ethic , it is good to remember that he did not made any holiday for ten years. In 1980, Jim Rogers has decided to "retire" at 37 years. Since then he has spent much of his time traveling and supporting the causes of philanthropic and taking on many high profile roles in the media. However, he continues to be an active investor and media commentator