2 replies to this topic

[fauxpas13]

[gannman]

do you think the dollar has topped here

[fauxpas13]

No.  I think gold and the dollar will ultimately rise together...much like gold bottomed at 250 in 1998 while the dollar continued to rise into 2001 before dollar index topped out at 120.  (I also don't favor the argument of higher interest rates meaning lower gold since the 800 high that stood in gold in 1981 was made on the heels of interest rates in the upper teens, near highs as well.)  At moment am thinking many recent correlations start falling apart proving once again correlation is not same as causation.  

As far as dollar yen, from the chart it looks to me like potential 4th wave with a retest / new low below 100 still to come.  At this point however, I'm more inclined to only expect a pullback watching for successful back test of support in 106 area...maybe 104 again.  So both of those would be hedge areas if still looking for new low at that point.