Normally I like to see the Gold and stock charts maintain
an inverse relationship while the New York Gold markets
are open and then go to a more direct relationship at 1:30
PM Eastern. The reason that I mention this is that the Gold
forecast starts the week with a strong move higher. The
equities markets do not have a corresponding move lower.
If such a move took place, the equity markets would most
likely trade lower most of the week since prices are very
close to the lower trendline, and once broken, the real selling
begins.
The caution is this... The open on Monday is difficult to
reconcile. It might just play out as described...
