The dollar may break 74

If you remember, I wrote that gold is dead money unless something spectacular happens like the dollar index breaks 74. As I write this, the index (DXY) is hovering around yesterday's low of 74.08. If the dollar breaks 74, gold may become "live money" and really take off. Note the word "may".


Like Dan from www.jsmineset.com I watch gold tick by tick and there is none, zero, zip, doubt in my mind that it is being capped. Every rally yesterday was sold. Now that being said, every dip was being bought. Thus, the definition of dead money. You may ask yourself, "self, if Neal says it's dead money, why is the price going higher?"

Good question. I will answer "self, because if it wasn't dead money, gold would be a lot, and I mean A LOT higher. The economic numbers are downright dreadful and Ben said he plans on cutting rates even more to stoke inflation.

Gold is up about $2 as I write this which is $8 off the lows. But, IMO, way lower than where it should be.


As usual all roads point to gold, except the road is turning into a express lane on the highway only there are cops all around so you have to observe the speed limit.