I am in agreement with you DCFM in focusing the attention on the USD at this level for an indication of short term direction in the gold price. There is not much support below the 76 level all the way down to 74 so a break down could result in a quick move for gold, or conversely a brief retrace if the USD bounces off 76.

When gold broke out in August 2007 after a 15 month consolidation, it proceeded to gain over $300 on its way to $1030 in just seven months. Now that gold has once again broken out of an 18 month consolidation I would expect a relatively similar move with brief corrections along the way. In my opinion, this move has just started and having coincided with the seasonally strong period for gold/silver, should provide momentum into early next year at the minimum.

A Happy Thanksgiving to all the Canucks out there.