According to Frank Holmes, CEO of U.S. Global Investors, commodities have the following seasonal cycles:
Every year has a seasonal cycle that affects supply and demand of commodities. We compare gold to copper to silver to platinum and to oil, and can see defined patterns. For more than 150 years, the patterns have a 70% accuracy of forecasting economic activity. Copper is usually best bought in November and sold in March. It fell off dramatically between March and November for many, many years until China's economic engine fired up and started altering that pattern 15 years ago. It still falls off, but not nearly so dramatically now.
Usually gold bottoms in August and charges back in September as part of a seasonal pattern that kicks off with religious observances and holidays in countries where it's very common to give gold as a gift and a representation of love—from Ramadan through the Diwali season of lights in India through Christmas and the Chinese New Year.
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