Gold is slowly losing its lustre!

Good morning, folks!

Except for a brief period at the height of the Pandemic, between August 2020 and early March 2021, Gold has been a one-way bet. However, given the revenue being generated by the US through its tariffs, concerns about the nation’s fiscal deficit appear to be receding. That directly impacts the demand for Gold as a way to express such concerns. So, be alert for signs of reversal in the coming weeks. Take a look at this chart.

The classical Dow Theory approach would identify this as a potential FLAG, with bullish implications. But other signs don’t confirm this. So if you have been considering a bullish trade around here, go slow, and/or go small.

Good luck.

Ramki

PS: Did you read the announcement about my online course?