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Friday, April 25, 2008

Friday Chart Fiesta

Looking at this daily chart of the euro, gold and the US dollar, we can see …

Gold, which often moves in sync with the euro, is going lower.

The euro has broken its uptrend and seems to be going lower.

The dollar has broken its downtrend and seems to be going higher.

These trends could come to a head on April 30, when the Fed’s FOMC meets and rate cuts are announced and rate cut intentions are augered.

Here is a chart of the dollar itself …

And after Friday's wild action, let's take a look at oil ...

Yes, we’re all waiting for oil to pull back. But what if it doesn’t until after it racks up another $10 or $20 gain?

You can see how gasoline is very bullish and moving very closely with oil.

But the one to watch is natural gas. Take a look …

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