The major battle ground has now shifted to the US Dollar and it isn't the US Treasury Department or the Federal Reserve that is controlling its direction. That's just a smoke screen to avoid embarrassment for the Bush Administration and build the credibility of Alan Greenspan who is sounding like a broken record more than ever.
Below USDX .92 and STAGFLATION is guaranteed in my opinion and gold will close over the key resistance level of $373.50. A close above that would see gold challenge the $400 level and possibly $408. Once it closes at or near $408, you might see a reaction or consolidation after which $504 comes into play.
Watch gold shares versus physical gold for an indication of when they take back the lead from the metal itself. When that happens, the Ratio Traders will be frying in their own fat. That will invalidate the Gold Cartel of Common Interest-created 8 Week Ratio Trade Gold Cycle.9. May it rest in peace!
http://www.jsmineset.com/s/Home.asp
06-05-2003
SINCLAIR: Heads Up-Dollar Plummets, Gold Rises
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