Gold unsettled by stronger dollar

Spot Gold is consolidating between $1740 and $1800, with the rising dollar halting its advance. Penetration of the rising trendline warns that momentum is slowing and breach of support at $1740 would signal another test of $1700.

Spot Gold

* Target calculation: 1900 + ( 1900 – 1600 ) = 2200

The weekly chart shows gold continuing its long-term ascent in a narrow trend channel. Breakout below $1600 would warn of a reversal.

Gold-Oil Ratio

The gold-oil ratio has fluctuated in a far narrower range since mid-2009 and it may take some years before we see another overbought/oversold signal.

4 Replies to “Gold unsettled by stronger dollar”

  1. It appears that the gold uptrend is still in effect. Wave 5 will target a new high surpassing the last high which already posted at ~ $1920.

  2. Gold is not in an uptrend with wave 5. Gold is contained between 1700-1800 with a very possible breach of 1700, testing previous lows.
    Overall trend is intact, but don’t expect a breach of 1920 until next year.

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