Mike “Mish” Shedlock's
Sitka Pacific Capital Management,Llc
Since 2015, gold has been correlated to the US dollar. What's next?
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.
Tweet Inspiration
#Gold Price Forecast: A Weaker Dollar Is The Easiest Path To $2,000 Gold#preciousmetals #markets @KitcoNewsNOW @mike_maloney @SeekingAlpha https://bit.ly/34qlECI
Gold Eagle @GoldEagleCom
Gold Eagle
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.
This material is based upon information that Sitka Pacific Capital Management considers reliable and endeavors to keep current, Sitka Pacific Capital Management does not assure that this material is accurate, current or complete, and it should not be relied upon as such.
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