• 1 hour Emerging Market Woes Spark Surge In Bitcoin Trading Volume
  • 3 hours Saudis Sovereign Wealth Fund Eyes Tesla Rival
  • 19 hours Inflation Wipes Out Wage Growth
  • 2 days Turks Flock To Safe Haven Assets As Lira Plummets
  • 3 days Did North Korean Hackers Just Steal $13M From Global ATMs?
  • 3 days Asian Tech Stocks Rebound After A Tough Week
  • 3 days Switzerland Bans New Audi, Mercedes, Porsche Imports
  • 3 days Sealing Off The North Korea Smuggling Loophole
  • 3 days This Tech Giant Is Pushing For Blockchain Adoption
  • 3 days Venezuela’s Gold Reserves Are Reaching Critical Levels
  • 4 days Brexit Woes Weigh On The British Pound
  • 4 days Forget Turkey, This Is The Biggest Threat To European Finance
  • 4 days There’s No Hiding From Google
  • 4 days Turkish Lira Bounces Back After Qatar Bailout Pledge
  • 4 days What Happens If Tesla Goes Private?
  • 4 days China's Most Powerful Weapon In The Trade War
  • 4 days Can The S&P 500 Shake Off Negative Sentiment?
  • 5 days Standards Go Out The Window As Employers Struggle To Fill Jobs
  • 5 days The Two Trillion Dollar Markets Amazon Hasn’t Conquered
  • 5 days Digital Supermodels Outperform Humans
U.S.-Turkey Tensions Take A Dangerous Turn

U.S.-Turkey Tensions Take A Dangerous Turn

U.S.-Turkey tensions have reached a…

Time To Buy A Lada? Russian Auto Sales Are Booming

Time To Buy A Lada? Russian Auto Sales Are Booming

Russia’s flagship carmaker was once…

  1. Home
  2. Markets
  3. Other

US Dollar Update

This is an excerpt of the weekend update sent to subscribers on Sunday. The focus on this portion is the US Dollar Index which will largely determine the direction of silver and gold in the years ahead.

.... but to put things into a longer perspective, look at the chart below. The aforementioned US Dollar Index is charted in green since its inception in the early 1970s when the dollar finally shrugged off any pretence to being linked to gold.

US Dollar Index Chart
Larger Image

The darker line is simply the index divided by its 200 day moving average. I have drawn a horizontal line through its most significant peaks occurring in June 1981, March 1985, November 2008 and March 2015. Looking more closely at these peaks, the 1981 peak heralded a mere 4 month decline in the Dollar, but the 1985 peak was the precursor to a 7 year decline and the 2008 one to a 3 year decline. It is the perhaps no surprise that the most recent peak last year has so far watched over a 13 month decline.

But how much further will this dollar decline go? My money is on a period more in keeping with seven years rather than mere months. The dollar's bull days are over; it is time for gold and silver to take the stage again!

 


Further analysis of silver can be had by going to our silver blog at http://silveranalyst.blogspot.com where readers can obtain subscription details for the Silver Analyst newsletter. A free sample copy can be obtained by emailing silveranalysis@yahoo.co.uk.

 

Back to homepage

Leave a comment

Leave a comment