AI
Wednesday, February 12, 2003 9:07:12 PM
Too quiet here lately. A little lousy market action and everyone goes to sleep. OK, I'll stir the pot!
I am bullish on gold and believe it could soon be ready to rally. All the economic weakness and unrest should work in gold's favor. The dollar is rebounding for the time being, but when it resumes its slide, (which I believe it must do), gold will go back up.
In the following chart, lots of things are beginning to come together. The first is a pretty good support level for the XAU index around $70. The lower XDEV band and the CCI indicator also suggest it may be ready for a rebound. The $70 level also coincides with the 200 Day EMA (which cluttered up the chart, so I left it off). If $70 doesn't hold, the next support is at around $66.50, which coincides with the upward sloping trendline. I believe the fundamentals for gold are good.
Should be interesting.
Lou
I am bullish on gold and believe it could soon be ready to rally. All the economic weakness and unrest should work in gold's favor. The dollar is rebounding for the time being, but when it resumes its slide, (which I believe it must do), gold will go back up.
In the following chart, lots of things are beginning to come together. The first is a pretty good support level for the XAU index around $70. The lower XDEV band and the CCI indicator also suggest it may be ready for a rebound. The $70 level also coincides with the 200 Day EMA (which cluttered up the chart, so I left it off). If $70 doesn't hold, the next support is at around $66.50, which coincides with the upward sloping trendline. I believe the fundamentals for gold are good.
Should be interesting.
Lou
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