{"id":6097,"date":"2012-11-08T21:31:59","date_gmt":"2012-11-09T02:31:59","guid":{"rendered":"http:\/\/goldstocksforex.com\/?p=6097"},"modified":"2012-11-08T21:31:59","modified_gmt":"2012-11-09T02:31:59","slug":"the-gold-euro-dollar-conundrum","status":"publish","type":"post","link":"https:\/\/thepatientinvestor.com\/index.php\/2012\/11\/08\/the-gold-euro-dollar-conundrum\/","title":{"rendered":"The Gold-Euro-Dollar conundrum"},"content":{"rendered":"<p>The Euro broke support at $1.28 against the greenback (weekly chart). Respect of the descending trendline warns of a down-swing to test primary support at $1.20. Reversal of\u00a0 63-day Twiggs Momentum below zero would strengthen the signal. But the Dollar Index and Gold suggest the opposite. Recovery above $1.28 would indicate a bear trap.<br \/>\n<img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter\" alt=\"Euro\" src=\"https:\/\/i0.wp.com\/www.incrediblecharts.com\/images\/2012\/2012-11-09-eur.png?w=525&#038;ssl=1\" \/><\/p>\n<p>The Dollar Index is inversely rising to test resistance at 81\/81.50. Breakout would indicate another test of 84.00 but 63-Day Twiggs Momentum below zero warns of a primary down-trend. Rising gold also suggests dollar weakness. Reversal below support at 78.50 would complete a head-and-shoulders reversal with a target of 74*.<\/p>\n<p><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter\" alt=\"US Dollar Index\" src=\"https:\/\/i0.wp.com\/www.incrediblecharts.com\/images\/2012\/2012-11-09-dxy.png?w=525&#038;ssl=1\" \/><\/p>\n<p style=\"text-align:right;font-size:.9em;\"><span style=\"color:#999999;\">* Target calculation: 79 &#8211; ( 84 &#8211; 79 ) = 74<\/span><\/p>\n<p>Spot gold (daily chart) broke resistance at $1725 per ounce, signaling an advance to $1900*. The 63-day Twiggs Momentum trough above zero indicates a primary up-trend. Breakout above $1800 would confirm. The conundrum is the euro is weakening and dollar index strengthening but gold is rising rather than weakening as expected.<\/p>\n<p><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter\" alt=\"Spot Gold\" src=\"https:\/\/i0.wp.com\/www.incrediblecharts.com\/images\/2012\/2012-11-09-gold.png?w=525&#038;ssl=1\" \/><\/p>\n<p style=\"text-align:right;font-size:.9em;\"><span style=\"color:#999999;\">* Target calculation: 1800 + ( 1800 &#8211; 1700 ) = 1900<\/span><\/p>\n<p>The DJ-UBS Commodity Index (weekly chart) found support at 140. 63-Day Twiggs Momentum is testing zero. Respect would indicate a primary up-trend. Recovery above $1.52 would confirm. Breach of $140, however, and 63-day Twiggs Momentum below zero, resulting from a strengthening dollar and\/or global down-turn, would test primary support at 126.<\/p>\n<p><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter\" alt=\"DJ-UBS Commodity Index\" src=\"https:\/\/i0.wp.com\/www.incrediblecharts.com\/images\/2012\/2012-11-09-dubs.png?w=525&#038;ssl=1\" \/><\/p>\n<p>Nymex WTI Light Crude is headed for a test of primary support at $76\/$78 per barrel. Declining 63-day Twiggs Momentum, below zero, warns of a primary down-trend. Brent Crude is also weakening, headed for test of primary support at $90.<\/p>\n<p><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter\" alt=\"Nymex WTI Light Crude\" src=\"https:\/\/i0.wp.com\/www.incrediblecharts.com\/images\/2012\/2012-11-09-crude.png?w=525&#038;ssl=1\" \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Euro broke support at $1.28 against the greenback (weekly chart). Respect of the descending trendline warns of a down-swing to test primary support at $1.20. Reversal of\u00a0 63-day Twiggs Momentum below zero would strengthen the signal. But the Dollar Index and Gold suggest the opposite. Recovery above $1.28 would indicate a bear trap. The &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/thepatientinvestor.com\/index.php\/2012\/11\/08\/the-gold-euro-dollar-conundrum\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;The Gold-Euro-Dollar conundrum&#8221;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7,8,35],"tags":[495,1064,1073,2529,3204],"class_list":["post-6097","post","type-post","status-publish","format-standard","hentry","category-forex","category-gold-commodities","category-us-dollar-index","tag-brent-crude","tag-dj-ubs-commodity-index","tag-dollar-index","tag-nymex-wti-light-crude","tag-spot-gold"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.0 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>The Gold-Euro-Dollar conundrum - the patient investor<\/title>\n<meta name=\"robots\" content=\"noindex, follow\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Gold-Euro-Dollar conundrum - the patient investor\" \/>\n<meta property=\"og:description\" content=\"The Euro broke support at $1.28 against the greenback (weekly chart). Respect of the descending trendline warns of a down-swing to test primary support at $1.20. Reversal of\u00a0 63-day Twiggs Momentum below zero would strengthen the signal. But the Dollar Index and Gold suggest the opposite. Recovery above $1.28 would indicate a bear trap. 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He founded PVT Capital (AFSL number 546090), which provides income and growth strategies to wholesale clients. Colin also co-founded Incredible Charts and writes the popular Patient Investor newsletter. Using a top-down approach, Colin identifies macro trends in the global economy and then combines fundamental and technical analysis to evaluate opportunities in sectors that stand to benefit. 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Reversal of\u00a0 63-day Twiggs Momentum below zero would strengthen the signal. But the Dollar Index and Gold suggest the opposite. Recovery above $1.28 would indicate a bear trap. 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He founded PVT Capital (AFSL number 546090), which provides income and growth strategies to wholesale clients. Colin also co-founded Incredible Charts and writes the popular Patient Investor newsletter. Using a top-down approach, Colin identifies macro trends in the global economy and then combines fundamental and technical analysis to evaluate opportunities in sectors that stand to benefit. Focusing on interest rates and financial market liquidity as primary drivers of the economic cycle, he warned of the 2008\/2009 and 2020 bear markets well ahead of actual events.","sameAs":["https:\/\/facebook.com\/people\/The-Patient-Investor\/61572934660810\/","https:\/\/www.instagram.com\/colin_thepatientinvestor","https:\/\/au.linkedin.com\/in\/colintwiggs"],"url":"https:\/\/thepatientinvestor.com\/index.php\/author\/investor\/"}]}},"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p9tQ4n-1Al","jetpack_likes_enabled":false,"jetpack-related-posts":[{"id":6195,"url":"https:\/\/thepatientinvestor.com\/index.php\/2012\/11\/16\/the-gold-euro-dollar-conundrum-2\/","url_meta":{"origin":6097,"position":0},"title":"The Gold-Euro-Dollar conundrum Part II","author":"Colin Twiggs","date":"November 16, 2012","format":false,"excerpt":"Last week we discussed conflicting signals from the euro and US dollar. The Dollar Index and the euro are normally plotted inversely to each other.\u00a0 I have reversed this on the chart below.\u00a0 As expected, with the euro the largest component (57.6 percent) of the dollar index weighted basket of\u2026","rel":"","context":"In &quot;Forex&quot;","block_context":{"text":"Forex","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/forex\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":6309,"url":"https:\/\/thepatientinvestor.com\/index.php\/2012\/11\/29\/gold-long-tail-as-dollar-retreats\/","url_meta":{"origin":6097,"position":1},"title":"Gold long tail as dollar retreats","author":"Colin Twiggs","date":"November 29, 2012","format":false,"excerpt":"Yesterday's long tail on the spot gold daily chart indicates support at $1700 per ounce. Recovery above $1750 would signal another test of $1800. 63-Day Twiggs Momentum well above zero continues to indicate a healthy up-trend. A weakening dollar would strengthen the signal. * Target calculation: 1800 + ( 1800\u2026","rel":"","context":"In &quot;Forex&quot;","block_context":{"text":"Forex","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/forex\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":6246,"url":"https:\/\/thepatientinvestor.com\/index.php\/2012\/11\/22\/gold-strengthens-as-dollar-retreats\/","url_meta":{"origin":6097,"position":2},"title":"Gold strengthens as dollar retreats","author":"Colin Twiggs","date":"November 22, 2012","format":false,"excerpt":"Long tails on the last two days of the spot gold daily chart indicate strong support at $1700 per ounce. Breakout above $1740 would indicate another test of $1800. 63-Day Twiggs Momentum well above zero suggests a healthy up-trend. A weakening dollar would strengthen the signal. * Target calculation: 1800\u2026","rel":"","context":"In &quot;Forex&quot;","block_context":{"text":"Forex","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/forex\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":8774,"url":"https:\/\/thepatientinvestor.com\/index.php\/2013\/11\/20\/rising-interest-rates-drive-gold-through-support\/","url_meta":{"origin":6097,"position":3},"title":"Rising interest rates drive gold through support","author":"ColinTwiggs","date":"November 20, 2013","format":false,"excerpt":"The yield on ten-year Treasury Notes followed through above 2.75, indicating a fresh primary advance, with a target of 3.50 percent*. Breakout above 3.00 percent would confirm. Completion of a 13-week Twiggs Momentum trough above zero (recovery above say 30%) would strengthen the signal. Reversal below the rising trendline is\u2026","rel":"","context":"In &quot;Commodities&quot;","block_context":{"text":"Commodities","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/gold-commodities\/commodities-gold-commodities\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":5527,"url":"https:\/\/thepatientinvestor.com\/index.php\/2012\/09\/19\/dollar-down-gold-up-but-crude-falls\/","url_meta":{"origin":6097,"position":4},"title":"Dollar down, gold up but crude falls","author":"Colin Twiggs","date":"September 19, 2012","format":false,"excerpt":"The Dollar Index is in a primary down-trend, as indicated by 63-day Twiggs Momentum below zero. Expect a test of support at 78.00. An ensuing rally that respects resistance at 81.00\/81.50 would reinforce the primary down-trend. * Target calculation: 81 - ( 84 - 81 ) = 78 Spot Gold\u2026","rel":"","context":"In &quot;Gold &amp; Commodities&quot;","block_context":{"text":"Gold &amp; Commodities","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/gold-commodities\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":5144,"url":"https:\/\/thepatientinvestor.com\/index.php\/2012\/08\/09\/dollar-and-gold-strengthen-2\/","url_meta":{"origin":6097,"position":5},"title":"Dollar tests support, gold and commodities strengthen","author":"Colin Twiggs","date":"August 9, 2012","format":false,"excerpt":"The US Dollar Index made a false break above resistance at 83.50 before retracing to test support at 81.50. Respect of support and the rising trendline would confirm the primary up-trend is intact. Breakout above 83.50\/84.00 would signal an advance to 86.00* in the next few weeks and to the\u2026","rel":"","context":"In &quot;Gold &amp; Commodities&quot;","block_context":{"text":"Gold &amp; Commodities","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/gold-commodities\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/posts\/6097","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/comments?post=6097"}],"version-history":[{"count":0,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/posts\/6097\/revisions"}],"wp:attachment":[{"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/media?parent=6097"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/categories?post=6097"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/tags?post=6097"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}