Zeev's Turnips Patch-No Politics (ZEEV)

[Ken2]

<< I fear a major drop in gold under $380 >>

I am surprised. For technical or fundamental reasons?

http://quotes.ino.com/chart/?s=NYBOT_DXY0&v=d12

It looks to me like DXY0 broke below major support today (88) closing at 87.64. After two successful tests of the 50d ma, in May it broke below it, and in June it tested the 50d ma from the underside and failed to get above it. Might DXY0 have just completed a H&S top? It looks to me like DXY0 has to get back above 88 right away, and then over the 50d ma, or a retest of the Feb bottom at 85 would be just a matter of time.

Do you see something I am missing? I am very curious to hear your thoughts. Clearly POG is fighting to stay above $400, so we will know in the fullness of time.

Thanks - Ken