Most of the time, gold is inversely correlated to the US dollar.
The problem with such analysis is that frequency does not mean amplitude.
The above chart proves that point.
That Gold Eagle Tweet inspired this post.
My chart seems contradictory. And I set out disagree.
Ironically, upon further investigation, I believe Gold Eagle is correct, for now.
I am working on some additional charts and fundamentals to explain why.
For now, let's just say it's important to understand that movements in the dollar do not explain movements in gold.
If dollar movements explained gold, the gold would not be at $1480.
Mike "Mish" Shedlock