A small update following today's strong NFP number - DXY still remains in its long term channel, however it does appear to have broken out on the 4hr. It may come backtest (97.15-20) this area early next week before moving on.
Next levels to keep in mind for a follow through next week 97.75-80 before a move onto the round number, 98 - upside still plenty of room...
An update to my post made on Wednesday (3rd July) - the double top scenario has now played out, confirming at the 1430+ levels, bulls are quite happy taking profits given the size of the rise during June.
With the huge NFP number today from the US, one of the items used to drive and support the price of gold has been the concern of the strength of the US...
I note the powerful surge from the $1390 level yesterday afternoon, the move extended through to test the previous high of the $1438 area, which similar to last week attracted some profit taking.
For me it is only a dollar off the previous yearly high and what i'm starting to see is RSI divergence with a lower RSI generated compared to the high from the 24th...
