The Dollar Index found short-term support at 89, having respected new resistance at 91. Trend Index peaks below zero warn of strong selling pressure. Expect a further decline to 87*.
* Target calculation: 91 – (95 – 91) =87
Gold respected resistance at $1350 as the Dollar found short-term support. Bearish divergence on the Trend Index warns of secondary selling pressure, warning of a correction.
* Target calculation: 1350 + (1350 – 1250) = 1450
A strong Aussie Dollar is holding back the All Ordinaries Gold Index. Respect of the rising trendline would signal another advance.
Further (USD) Dollar weakness is likely to boost gold prices.
Gold, Stocks & Forex 