Gold stocks rise as Aussie Dollar falls

Spot Gold is under selling pressure, with the Trend Index declining to zero, and is likely to test support at $1260/ounce. Breach of support would warn of another decline, with a target of $1200. Respect of the rising trendline, with breakout above $1300 is less likely but would be a strong bull signal.

Spot Gold

The All Ords Gold Index ($XGD) indicates buying pressure, with a higher trough and Twiggs Money Flow crossing above zero, in response to the weakening Aussie Dollar. Breakout above 5000 would signal a new primary advance.

All Ords Gold Index ($XGD)

Gold softens as market contemplates another rate rise

The Dollar continues to strengthen, with the Dollar Index testing short-term resistance at 95. Another rate rise from the Fed in December would strengthen the Dollar further. Medium-term target for the extended rally is 97.

Dollar Index

Spot Gold is under selling pressure, with the Trend Index declining to zero, and is likely to test support at $1260/ounce. Breach of support would warn of another decline, with a target of $1200.

Spot Gold

But the All Ords Gold Index ($XGD) is rising, headed for a test of resistance at 5000. Breakout would signal a new primary advance.

All Ords Gold Index ($XGD)

…Largely because the AUD price of gold is rising …as the Australian Dollar weakens. There are still signs of resistance though, with the Trend Index unable to cross above zero. Reversal below $1620 would be a strong bear signal.

Gold/AUD

Gold hurt by Euro fall

From FXWire:

The euro dipped against [the] dollar on Thursday as the European Central Bank’s decision to extend its bond purchases into 2018 at a reduced rate spurred selling of the single currency.

Euro/USD

The Dollar spiked upward on the Euro fall, with the Dollar Index breaking resistance at 94 to signal another (bear) rally. Target for the extended rally is 97.

Dollar Index

Spot Gold fell in response to the Dollar, testing support at $1260/ounce. Penetration of support and the rising trendline would warn that the up-trend is losing momentum.

Spot Gold

But the Euro price of gold hasn’t budged.

Gold/EUR

Nor has the price of gold in Australian Dollars.

Gold/AUD

Which is why the All Ords Gold Index ($XGD) remains bullish, building a solid base for further gains. A higher low suggests buying support and breakout above 5000 would signal a new primary advance.

All Ords Gold Index ($XGD)