mikhem

Gold vs US Dollar - War of Attrition?

Long
OANDA:XAUUSD   Gold Spot / U.S. Dollar
So Gold's upward thrust appears to have been stalled recently due to the resurgent US Dollar . Every time we think Dollar strength is beginning to wane and #Gold can once again resume it's flight to the stars, something fundamental pops back up and Dollar ascendency once again becomes the norm. A war of attrition and which ultimately will win out?

Well as always much depends on what's happening in the world and in this case, we're once again wondering if Trump and Xi are going to kiss and make up, or if both sides are still as wide apart as ever and more tariffs (which for reference Donald, are NOT paid for by the Chinese, but your own citizens - just saying...) are on their way in March?
Right now we seem to be at a stand-off. If trade talks do break down then around 97.43 on the DXY looks likely imo and possibly even 97.83, which would seriously dent #Gold and pretty much everything else too.

Gold on the other hand needs to hold at 1303 support. If that fails then 1295. If the dam breaks here then 1281 and a lot of frustration. Keeping an eye on #USDJPY, and #DXY



Author's personal holding: Long gold miners (holding)