Submitted by Morris Hubbartt:
The dollar’s failure is probably being masked by a gold market that feels a bit like it is “under attack”. The line in the sand that I have set for the dollar is 80.50. It has closed under that key price numerous times, which indicates technical deterioration.
This “Cork In The Sea” weekly chart highlights a massive symmetrical triangle formation, with a horrific final price objective of about 50 for the USDX. Where would gold trade if the dollar were to suffer such a catastrophic decline? I believe it would trade above $4000 an ounce. [Read more...]