The Dollar is dropping into a cycle low, and prices should slip a little further before bottoming. If correct, then metals and miners should extend their rallies before entering a multi-day correction.
Gold ran into resistance at $1220; this is a key level. Prices are pulling back (currently at $1214). Above $1220 and short covering could propel gold to the $1238 – $1240 level rather quickly. Short-term support in the meantime reports between $1210 – $1200.
-US DOLLAR- The Dollar is breaking the June/July support line. Prices may bounce a little sooner or later, but they should at least reach the 93.50 area before attempting a cycle low. If prices accelerate below 93.00, then I’d anticipate a cycle bottom at/near the 200-day MA.
I’ll post again this afternoon.