Gold Move!!!

Warning: This is not a recommendation to buy, sell or hold any financial instrument.
I have to conclude that the immediate term direction on gold is up. It’s setting up an ascending triangle on the hourly interval and it has overlapping supports (daily) just below. Even if the hourly ascending triangle fails, a retracement to around $1028 could be considered part of a healthy pullback.

Spot gold, hourly interval

While gold looks set to make new highs, short term, this breakout is occurring without the U.S. Dollar Index breaking down and out of its range. That should concern gold longs here. 75.912 on the U.S. Dollar Index must be taken out to the downside, or gold is going to correct.

U.S. Dollar Index, daily interval

If you have large profits on a speculative gold position (and I know that many Cryptogon readers do), I would consider taking profit on a portion of your holdings, or buying protective puts; especially on the next push higher—if it happens—over the next several hours to days. A more important tripwire for gold longs to watch is the 77.475 level on the U.S. Dollar Index.

- Via Cryptogon