With September and it’s big gains in both gold and silver now behind us, we thought it apropos to examine a chart of the seasonal pattern for gold throughout the bull market to date, as October is one of only 4 months out of the year that has averaged a negative return for the mouth throughout the duration of the bull market since 2000. While traders may want to lighten positions for October, holders of the physical metal should likely sit tight as November is the strongest seasonal month of the entire year, with an average monthly return exceeding 4%.
Chart courtesy Bloomberg
![[Most Recent Quotes from www.kitco.com]](http://www.kitconet.com/images/live/s_silv.gif)
![[Most Recent Quotes from www.kitco.com]](http://www.kitconet.com/images/live/s_gold.gif)
Sorry Doc, I can’t agree with your October “sit tight” recommendation for holders of physical metal. October is the month to accumulate. Buy when sentiment is down and prices are flat or trending down. Sit tight when prices are rising as we expect in November. But with today’s surge, who knows if charts help much anymore.
That’s true! Last year when silver raised by a lot, a lot of people bought some silver at that moment and then when the price dropped, a lot of people lost their savings in terms of dollars. September, October, November and maybe December are the months that are very bullish for precious metals. Right now at the moment, I buy junk silver because my dealer sells them less than the melt price just for me.