Gold continues to find resistance at $1210/ounce. Trend Index peaks below zero warn of LT selling pressure but rising troughs suggest a secondary rally. Respect of resistance and the declining trendline would warn of another decline, offering a long-term target of the 2015 low at $1050/ounce.
The Dollar Index found support at 94. Follow-through above 96.50 would confirm another advance. A strengthening Dollar is likely to weaken demand for Gold.
The Aussie Dollar broke support at 71 US cents, prompting a weak rally among Australian gold miners. The All Ordinaries Gold Index (XGD) is ranging between 4550 and 4900. Gold is more volatile than the currency and likely to determine long-term direction. A Trend Index peak below zero would signal continuation of the down-trend.
