Gold looks to be holding above $950 here not breaking down below $944 as the USD continues to weaken.

Gold has increasingly become a hot subject since the AAA rating on the US has come into jeopardy.  The selling of US treasuries and the USD has increased dramatically as the Euro/USD is now flirting with $1.42.  Gold has risen significantly in the passed 2 weeks alone and has just touched $980.  Another trade up to $1,000 could be in store.

Gold and Silver have been both moving very slowly in the upwards direction the passed few weeks.  No real conviction in this market as prices stay below $930/oz and $14.20/oz respectively.  Look to Copper to put your money in as this has more of a chance on the upside from here on out.

Take a look at a chart of Gold recently.  Gold held the 50 day ma of $920 and the slow stochastics along with the RSI and MACD all point lower.  Can it break the potentially pivotal $860 level on the downside?

It was looking great for the USD up until the last two days of this past week losing over two and a half cents to $1.3220 against the Euro.  This fueled the commodity rally as Oil spiked up $2.00 on Friday to over $51.00 even with all the bearish fundamental news with incresed supplies and decreasing demand.  Gold and Silver had greta weeks as Gold is trading right at the resistence of $920.  You need to pay special atention to the currency markets and the USD because sometimes this can override fundamental reasons.  Even with the DJIA recovering old prices have remained steady up here.

Gold dropping like a rock today some $17  to the $870 support area as the DJIA closes above 8,100 and the dollar gains against the Euro.  If Gold breaks this $870 mark prices will plummet another $30   so watch this level very carefully.  I am beginning to believe in the DJIA rally.  We havent seen it give back any gains in the last month and a half.