Those angry little gold buggers are finally starting to put some points on the board.
The lack of participation in Gold since last Spring has been something to witness. Every commodity on earth has skyrocketed, except for gold and other precious metals.
My argument is that maybe it’s behaved that way because it’s not a commodity. Maybe it’s more of a currency, something I’ve always argued.
Right or wrong, call it whatever you want, it has done poorly since last summer of 2020.
And with the Dollar as strong as it’s been, Gold has really taken a beating.
But not lately….
Can we call it a comeback?
You see, with new highs in the US Dollar this month, Gold did NOT make new lows. That bullish divergence is the first sign of life we’ve seen out of this thing for a while.
Here we’re looking at the US Dollar (inverted) using the $UDN ETF to help visualize it. And below that is the price of Gold, NOT making lower lows: [Read more…]