“Woe to the land whose king is a child and whose leaders are already drunk in the morning. Happy the land whose king is a nobleman, and whose leaders work hard before they feast and drink, and then only to strengthen themselves for the tasks ahead”. (Eccl 10: 16-17)


"When misguided public opinion honors what is despicable and despises what is honorable, punishes virtue and rewards vice, encourages what is harmful and discourages what is useful, applauds falsehood and smothers truth under indifference or insult, a nation turns its back on progress and can be restored only by the terrible lessons of catastrophe." … Frederic Bastiat


Evil talks about tolerance only when it’s weak. When it gains the upper hand, its vanity always requires the destruction of the good and the innocent, because the example of good and innocent lives is an ongoing witness against it. So it always has been. So it always will be. And America has no special immunity to becoming an enemy of its own founding beliefs about human freedom, human dignity, the limited power of the state, and the sovereignty of God. – Archbishop Chaput


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Thursday, August 23, 2012

Euro Gold closing in on its All Time High

The following chart reveals the strength of gold when priced in terms of the Euro Currency. Notice that it has been steadily working higher and is within striking distance of an overhead resistance level coming in just shy of 1350. If can push through this level, it should be able to match or exceed its all time high.

It has been in a consolidation pattern since late last year but with a definite higher bias as can be seen from the series of higher lows riding along the lower red support line. Notice that mini-trend higher has accelerated since April of this year.


5 comments:

  1. Where is the next resistance after 1350 Dan? Just curious? Looks like the various subject euro bond yield's started another slight bounce? If ascent keeps up will euro start to slide again. But will bond money continue to flow into gold markets anticpating ..chaos, greek exit,?

    Getting close to clobberin time again. Release of American oil reserves, increase margins, what else can they throw at this prior to QE to infinity? What happens when everyone prints at once and all the algos do not know what to do? Is there code written or will markets go crazy then straight up gold? Answers forthcoming.

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  2. White Wolf - after 1350 euro, the next stop would be a retest of the old all time high, coming in near 1370. BUT - 1350 has to fall first.

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  3. Dan ---Gold charts in INR are very similar to that in Euro. It was consolidating in triangle since almost a year, then had highest monthly closing ever and now is staging a highest ever weekly close again. It looks good though little overstreched on monthy and weekly charts. Gold in long run looks very strong on monthly charts.

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  4. Dan,

    IS THIS THE END OF THE BULL MARKET ?

    www.markethighsandlows.wordpress.com

    ReplyDelete

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