A good time to update the Gold chart as we enter into the final few sessions before Fed, it is important that we recap the movements which have led us to these levels:
From a technical perspective this kickstarted the final chapters in a far larger triangle:
Same story in CNY....
As you all know, ultimately there is only bids and offers in Gold, supply and demand. The key to Pandora's box is with the demand side as the shiny rock serves little industrial purpose. The other leg to the stool is coming from the historic relationship between currency and Gold, it will take a generational shift for Gold to stop the 'safe-haven flows' in uncertain times...
With that in mind, we can shift focus onto the USD side as it has been hijacked by the Protectionist WhiteHouse. The Fed bent the knee and opened the floodgates for dollar liquidity, this is fundamentally shifting the macro flows and is not a short-term bull market, for those that didn't know Central Banks have been adding to their Gold to reserves for the first time since WWII.
For the flows, I am actively buying 1490.xx today for Fed with a main target at 1595.xx .. this swing will need reassessment should we breakdown towards the 1453 lows.
Another chart that I highly recommend bookmarking is the Copper to Gold ratio, after reaching trough levels it is beginning to find a floor and show signs of a pulse.
I am expecting demand to continue picking up, it is highly likely we are going to see the economic cycle down over the coming months and with globalisation retreating the price of Gold from a strictly supply&demand perspective, looks ready for the next wave of inflows.
Thanks for keeping the likes and comments coming.
From a technical perspective this kickstarted the final chapters in a far larger triangle:
Same story in CNY....
As you all know, ultimately there is only bids and offers in Gold, supply and demand. The key to Pandora's box is with the demand side as the shiny rock serves little industrial purpose. The other leg to the stool is coming from the historic relationship between currency and Gold, it will take a generational shift for Gold to stop the 'safe-haven flows' in uncertain times...
With that in mind, we can shift focus onto the USD side as it has been hijacked by the Protectionist WhiteHouse. The Fed bent the knee and opened the floodgates for dollar liquidity, this is fundamentally shifting the macro flows and is not a short-term bull market, for those that didn't know Central Banks have been adding to their Gold to reserves for the first time since WWII.
For the flows, I am actively buying 1490.xx today for Fed with a main target at 1595.xx .. this swing will need reassessment should we breakdown towards the 1453 lows.
Another chart that I highly recommend bookmarking is the Copper to Gold ratio, after reaching trough levels it is beginning to find a floor and show signs of a pulse.
I am expecting demand to continue picking up, it is highly likely we are going to see the economic cycle down over the coming months and with globalisation retreating the price of Gold from a strictly supply&demand perspective, looks ready for the next wave of inflows.
Thanks for keeping the likes and comments coming.
Comment:
Eyes on the breakout!
Comment:
A late update here after the ban... we did not get the breakout and no surprises trading back in the widely mentioned value area. An important Gold chart update coming today!
Comment:
The risk rally is coming undone...
