Looking at the price of Gold in US Dollars is critical to understanding its trend for US investors.
Today we look at a “monthly” chart of the Gold to US Dollar ratio to highlight why Gold may be breaking out.
As you can see below, the ratio has broken out to new highs and is testing breakout support at (1).
Note that this is 14 years in the making so it is a big deal.
If the Gold/Dollar ratio can hold above 14-year resistance at (1) and continue its rally off support, it will be very bullish for Gold.
dIn my humble opinion, this is an important ratio and time to watch Gold. Stay tuned!
Gold / US Dollar Price Ratio “monthly” Chart
Twitter: @KimbleCharting
The author may have a position in mentioned securities. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.
