We suspect the down trend will resume shortly, with a retest of 1180-1200 the first target. Our subscribers are aware of our target for this counter trend rally.
Oil and equities continue to surge higher, fuelled by expectations of improving economic conditions in the US, at least relative to the rest of the Western world, and with emerging markets struggling, the US looks to be the "best worst" prospect in the near term.
This should also translate into dollar strength, which we expect to see return once the knee jerk sell off following the release of the FOMC minutes last week unwinds. This will of course be bearish for gold and we expect this to be the catalyst that sees the down trend in gold resume in the coming weeks.
Today's video for subscribers looks at our target for the current rally and our strategy for our next trade.