LIVE Gold Prices $  | E-Mail Subscriptions | Update GoldSeek | GoldSeek Radio 

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page 

 GoldSeek.com >> News >> Story  Disclaimer 
 
Latest Headlines

GoldSeek.com to Launch New Website
By: GoldSeek.com

Is Gold Price Action Warning Of Imminent Monetary Collapse Part 2?
By: Hubert Moolman

Gold and Silver Are Just Getting Started
By: Frank Holmes, US Funds

Silver Makes High Wave Candle at Target – Here’s What to Expect…
By: Clive Maund

Gold Blows Through Upside Resistance - The Chase Is On
By: Avi Gilburt

U.S. Mint To Reduce Gold & Silver Eagle Production Over The Next 12-18 Months
By: Steve St. Angelo, SRSrocco Report

Gold's sharp rise throws Financial Times into an erroneous sulk
By: Chris Powell, GATA

Precious Metals Update Video: Gold's unusual strength
By: Ira Epstein

Asian Metals Market Update: July-29-2020
By: Chintan Karnani, Insignia Consultants

Gold's rise is a 'mystery' because journalism always fails to pursue it
By: Chris Powell, GATA

 
Search

GoldSeek Web

 
Bullion vs. the Dollar: Three Scenarios

By: Rick Ackerman, Rick's Picks


-- Posted Tuesday, 8 January 2013 | | Disqus

The U.S. dollar showed its first sign of life in nearly a month last week when it rallied above some distinctive price peaks on the daily chart. The trend bears watching, since any significant upside progress from here would put pressure on gold and silver quotes. How likely is this to occur? The chart below leaves the matter unsettled, at least for now. Traditional chartists will see a bearish head-and-shoulders formation in the making. If it pans out in textbook fashion, that would of course be bullish for precious metals. We think this is the least likely of several scenarios for two reasons: 1) head-and-shoulders patterns are everywhere we want to find them, too popular for their own good; and, 2) this particular one looks too fetching to do what we expect it to do.

More likely, in our opinion, is a prolonged slog higher for the dollar over the next 6-8 weeks, with a modest upward slope that hugs the dotted red trendline. This would be congruent with a forecast we aired a couple of months ago calling for range-trading in gold from around $1480 to $1800 between now and early 2014.

Most Bullish for USD

Which brings us to the scenario most bullish for the dollar, and therefore least bullish for precious metals. According to our Hidden Pivot Method of analysis, sustainable rallies nearly always begin with an upthrust exceeding two prior peaks, an “internal” and an “external.” In the chart above, these peaks are labeled, respectively, #1 and #2. However, more than merely exceeding both highs, the rally would have to do so without pulling back significantly after the first high is surpassed. Another way of saying it is that if bulls can get past peak #1, they must top #2 as well without pausing for breath. Were this to occur, you could kiss the head-and-shoulders pattern good-bye, and with it the prospect of a strong uptrend in bullion prices for perhaps another month or two.

***

[Click here for a free trial subscription to Rick’s Picks that includes access to a 24/7 chat room and timely trading touts.]

GoldSeek.com will hosting a special 30 minute online event with Rick Ackerman of Rick’s Picks this coming Wednesday, January 9th starting at Noon Eastern, 9 am PST.

 

GoldSeek.com readers will be able to attend this free online session with Rick Ackerman covering Gold Stocks in 2013, a technical look at the charts.

 

The following Gold Stocks will be covered including:

 

GDX/GDXJ, Comex Gold, GG, NEM, ANV, TGD, GORO

 

We encourage you to send along your favorite Gold Stocks for consideration for Rick to review. Please send your gold stocks for consideration to rick@rickackerman.com, with the subject header ‘My Gold Stock Request’.

 

After the 30 minute session, Rick Ackerman will also be taking requests from the audience!

To reserve your seat for this event, just fill in your name and e-mail address below: https://www2.gotomeeting.com/register/422156530

 

We look forward to seeing you next Wednesday at noon eastern!


-- Posted Tuesday, 8 January 2013 | Digg This Article | Source: GoldSeek.com

comments powered by Disqus



 



Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to GoldSeek.com

 news.goldseek.com >> Story

E-mail Page  | Print  | Disclaimer 


© 1995 - 2019



GoldSeek.com Supports Kiva.org

© GoldSeek.com, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of GoldSeek.com and/or the providers of the content under license. By "content" we mean any information, mode of expression, or other materials and services found on GoldSeek.com. This includes editorials, news, our writings, graphics, and any and all other features found on the site. Please contact us for any further information.

Live GoldSeek Visitor Map | Disclaimer


Map

The views contained here may not represent the views of GoldSeek.com, Gold Seek LLC, its affiliates or advertisers. GoldSeek.com, Gold Seek LLC makes no representation, warranty or guarantee as to the accuracy or completeness of the information (including news, editorials, prices, statistics, analyses and the like) provided through its service. Any copying, reproduction and/or redistribution of any of the documents, data, content or materials contained on or within this website, without the express written consent of GoldSeek.com, Gold Seek LLC, is strictly prohibited. In no event shall GoldSeek.com, Gold Seek LLC or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.