This is just a quick note to let you know that nothing changed about our views on the market since the latest Premium Update was posted.

The USD Index is still above the major, long-term support line and above the medium-term support line. In fact, it is almost right at them. This makes a move up - in USD - likely. The dollar is also right at its cyclical turning point, which makes it's bullish case even stronger.

At the same time gold is not above the declining medium-term resistance line that is created by connecting September 2011 and February 2012 tops. Gold tried to break out above this line but the breakout was invalidated on Monday. Now we have gold right at this important line. The situation remains critical, because both: gold and the USD Index are right at their key resistance and support lines, respectively.

The medium-term trend in gold remains down.

Thank you.

Sincerely,
Przemyslaw Radomski