Thursday March 22, 2012
Here is the real bull market, its beginning overshadows the others-stocks, gold, oil
US Dollar
Since September 2011, the US Dollar has crested both its MAs, retested the uptrned line twice, and now flirts with the 50 dya MA.
Now here is the same template but for gold
Gold
Gold has been the inverse of the Dollar, topping when the Dollar bottomed. The current Dollar strength has gold on the run again, down $15 this morning to 1635.
Let's move in with the EMA 13 and 34
The tech jury is out on this one. It may be an inverse head and shoulders. It may be a series of lower lows if the dollar continues to rise. The market is 1635 this morning. Upcoming action at 1600 should be interesting.
Stocks
The successful re test of 1340 caused the robot programs to kick in with buy signals. The break through
1370, the previous high really got things going. As we have suspected that resulted in short covering and going long by the same group, a double buy pushing the market to 1400. Once that spurt ended, we are now pulling back a bit, and the strong dollar is weighing in.
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