Metals pressured by King Dollar

With the USD settling higher by a sig' 1.4% in the DXY 97.30s, the precious metals were naturally under strong downward pressure. Gold and Silver settled lower by a significant -1.4% and -2.0% respectively. Near term outlook is bearish.


GLD, daily

SLV, daily

Summary

*the bigger weekly cycle (not shown) is starting to rollover, and will be offering a break under the Nov' 2014 lows in June/July.
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Certainly, today was not a surprise...with Gold unable to hold the psy' level of $1200.
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Two scenarios...

1. USD pushes higher >DXY 100.... with metals unravelling in the near term
2. USD gets stuck in the 97/98s.. and cools for two months.. to 90/89.... with metals holding the floor.

Best guess? Tricky... but if I had to guess, I'd go with a re-cooling USD... if Greece can kick the can yet again.
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Regardless of any 1-2 bounce though... Gold still looks set for the giant $1000 threshold this summer/autumn.