The S&P500 and DJIA both limped to new highs last session but most other instruments, other than GBP pairs, are little changed. I’m wondering if the northern summer doldrums may continue to plague markets until Jackson Hole?

I had warned yesterday to watch potential descending wedge patterns on Gold and the EUR/USD and both patterns were spot on. US CPI data was a bit soft which has kept the US$ in check and helped to support Gold and the EUR/USD. The DJIA and S&P500 were also supported and closed at new highs. […]

There hasn’t been a lot of change other than a bit more EUR/USD weakness. Caution is needed today though given the release of US CPI data. A disappointing print could undermine recent US$$ strength so caution is needed.

Gold continued its drop at Monday market open on concern about the potential US tapering of stimulus. Most other instruments are little changed though in the wait for Wednesday’s CPI data.

Last week: It was another relatively slow week for trend line breakout opportunities and I suspect that the wait for Friday’s NFP may have been the reason. The US monthly jobs report was better than expected and this helped to lift the US$ and US yields triggering some sharp movement on Gold and the commodity […]