A snapshot look at the US dollar index doing as we’d anticipated (bounce) to a level we’d allowed for (SMA 200 at 103.40), if not temporarily higher (to a lower high to the December high, ref. NFTRH 792).
USD is ticking the SMA 200 today and hitting the associated resistance.
The Gold/Silver ratio is not playing ball, for a day at least. It could be that the recent strength in the GSR was foretelling of the hard USD bounce, and little more.
But the rule remains the same. If these two ram higher together caution will hit the macro. If they weaken or fail together the ‘anti-USD’ stuff, especially, can rally further. On that note, consider that items like the TSX-V are still in an unbroken rally mode.
The December high should not be breached on USD and GSR should not start spiking higher in order to keep the seasonal play, such as it is, going.
