Guys, I like the post and agree with the majority of thoughts. However, number of facts to consider :

1. since 2008 US government printed a lot of money, same for ECB, yet we see deflation fears. Even more remarkable example here is Japan. This is to your comment that more money means inflation.

2. German exampel here is irrelevant as their currency depreciated not just against gold but against other currencies as well. Over the same period price of Gold was unchanged for example in USD.

And finally, just a reminder, that following the start of Reagonomics (early 80's) - gold became commodity and is now very volatility because of headge funds. It should be considered as a long term investment rather then quick buy / sell. In short term it may very well go down.