Gold Ends Week Above $1400 Despite COMEX - April 19, 2013 23:23

Coming into the European open at 3am this morning (EST) Gold was threatening to cross back through the 200 week moving average.  This is not a level I take a lot of stock in, preferring both the 144 and 288 EMA lines personally.  But, many traders do use the 200 period MA as a reference […]

The Euro Yen Unwind Continues - April 12, 2013 1:13

Watching the currency markets right now is an interesting exercise — not a complicated one.  The apocryphal Mrs. Watanabe is pulling her money out of her homeland and depositing it around the world in other currencies and government bonds that promise a far better real yield since her home country has seen fit to reward […]

The Yen Approaches 100, The Euro Stabilizes - April 8, 2013 21:33

We have not seen the end of the Yen debasement by any stretch of one’s imagination.  The Japanese monetary dumping ground has been in free fall since markets opened Sunday night and the USDJPY pair is now comfortably over 99 and headed to 100 easily this week.  The U.S. bond market has given back more […]

Bank of Japan Goes to Infinity and Beyond - April 5, 2013 0:57

The new head of the Bank of Japan made his mark on the markets with his first pronouncement last night.  Skipping the particulars, which if you are truly interested you can read them here, the BoJ is committed to doubling the size of its balance sheet over the next 20 months adding Â¥7 trillion per […]

China and Australia Set to Cut Dollar out of Trade - April 1, 2013 23:07

I’ve been saying for a long time that the Petrodollar system will not die all at once.  It will do so by a thousand tiny cuts.  In the past 18 months or so China has signed more than 30 bilateral trade or currency swap agreements with countries around the world.  Last year the big one […]

Gold Holds Serve Against Cyprus Deal and Options Expiration - March 25, 2013 20:21

The bears will never learn, because they are bearish for what amounts to irrational reasons, no matter how rational they sound.  Gold is not going to be blown out back to $1400 per ounce because of debt deflation.  If today’s price action did not tell them that it never will and they will continue to […]

Except the Euro to Strengthen After Cyprus Dust Settles - March 18, 2013 8:33

The monstrous proposal of stealing from the depositors in Cyprian banks by the Troika will ultimately be bullish for the Euro.  Cyprus is really a very small problem and, while, this is a bad precedent for the Troika to have set it will have both short and long term positive connotations for the Euro.  One […]

Euro Crushed by Italian Exit Polls - February 25, 2013 23:17

The fear that the Italian Election would not work out in Goldman-Sachs’ favor had Euro-bulls running to the hills.  As the news that Silvio Berlusconi’s center-right party will have received enough votes for a hung Parliament hit the newswires the Euro hit the floor and is currently trading down near $1.305.  Since this is a […]

Gold Drops on Eurozone GDP Horror Show - February 14, 2013 21:39

For those that missed it, Gold re-coupled with the Euro in early January after the ECB’s policy meeting and Mario Draghi’s comments on about the direction of ECB monetary policy for the medium term — think tight.  Since that day the daily directional moves in Gold and the Euro have been in sync, with Gold’s […]