What a difference a day makes. Gold gapped down $10 this morning, bounced higher, then fell below the $1,200 mark where it stayed most of the day. This even with the Dollar Index falling below 100. We can’t expect that to continue, so something has to give. We should know more by tomorrow.
My indicators are pointing down for gold at present but gold miners had a move up end of day. President Trump wants a weaker dollar so since dollar is under 100, he may keep quiet on the Tweets. But if the dollar goes over 100, then we may see some issues with gold short term.
Bottom line is, still bullish overall but that 1220 level failed and now we are back under 1200 and that is not good for gold. The dollar I think is still key here. Watch it like a hawk even though today was an aberration to the norm we have been experiencing with an inverse relationship.
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About Doug EberhardtDoug Eberhardt is a 28 year financial services veteran and precious metals broker selling gold and silver at 1% over wholesale cost. Doug has written a book to help investors understand how gold and silver fit into a diversified portfolio, how to buy gold and silver, and what metals to buy. The book; “Buy Gold and Silver Safely” is available by clicking here Contact phone number for Buy Gold and Silver Safely is 888-604-6534
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