Expecting Gold to head South
I'm more confident than ever that the USD is going to grow from here, at least to 105, and then let's see. There's loads of scare mongering (and I believe it is just that) around the US debt ceiling (I do not believe that either political side will allow the US to default, at all - loads of fud about insurance policy sales on the increase to hedge against this - blx), and also that China et al are working to remove the USD as the global currency (I 100% believe this is in process, but it's going to take 10 years, not 10 days, nom sen!).
For gold, looking at the weekly, we have a long rejection wick (for the third time in the last 2 years), so like the last two, I'm expecting a retracement from here.
This is a 3:1, but if we break 1970 then I'm expecting further falls, we drop below 1950 and it's going to drop big!!
Only caveat for me is we've seen gold behave rather oddly recently (eg rising as DXY rises), however I believe a big USD push will force Gold down, but keep your wits about you, nom sen!!
Trade safe!
For gold, looking at the weekly, we have a long rejection wick (for the third time in the last 2 years), so like the last two, I'm expecting a retracement from here.
This is a 3:1, but if we break 1970 then I'm expecting further falls, we drop below 1950 and it's going to drop big!!
Only caveat for me is we've seen gold behave rather oddly recently (eg rising as DXY rises), however I believe a big USD push will force Gold down, but keep your wits about you, nom sen!!
Trade safe!
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