"As a technician, I feel that there are few analysts that offer value for me, but you do. Your work on Gold ratios has helped my analysis greatly." --Jordan Roy-Byrne, CMT (The Daily Gold) 4.9.10

Thursday, May 31, 2012

USD technical target is 91... so what?

USD has already moved 'too far' above its weekly EMA 20, but what does an impulsive move that is whipping everyone into a deflationary frenzy care about 'too far'?  The measured target is 91, which is different than writing 'USD is going to 91'.

But this ought to shut the anti-USD cult up but good.  If Uncle Buck is garbage, so too is the euro and most of the rest of the major paper currencies.  We are in a full blown currency event now, and gold is the 'currency' alternative. 

Pro-USD fetishists on the other side say that gold must decline hundreds of dollars due to USD strength.  But this is really a war between the exchange values of failing currencies.  It is not about some ancient relic to which people have historically assigned monetary value.

http://www.biiwii.blogspot.com
http://www.biiwii.com

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