With the latest interest rate hike, $DXY ran hard before ultimately closing pretty flat. With the market continuing downward and the Fed expecting only two interest rate hikes in 2019, we could see a drop in the dollar over the next couple of months. The telling factor will likely be the monthly candle close. This would be good news for Gold bulls, as Gold has already been on a small tear lately. If the market continues to drop, we may see 1300 and beyond for spot Gold.
Comment:
This is completely dependent on the close of the monthly candle. If we break out of the .618 fib to the upside, the downtrend of the dollar is invalidated.