Generally, gold's direction vis-a-vis the U.S. dollar is inversely related. But for more than 8 weeks, now, both gold and the USD have moved in tandem to the upside.
My sense is that both gold and the dollar are deriving flight-to-safety strength from the same fears and uncertainties within an unprecedented period of super-low Treasury Yields.
Powerful Patterm
Whatever the underlying reasons, let's notice that gold's price action for the past 18 months has carved out a potentially powerful base/accumulation pattern, which points to much higher prices in the weeks and months ahead.
Imagine what gold's trajectory would look like if -- and when -- the U.S. dollar enters a period of correction (weakness)?
