Gold Breaks out vs Euro

GOLD vs EUR breaks above its 18-week trendline, highlighting similar upside pattern as in May 2012  (Greek election impasse) and Nov-Dec 2011 (Italy debt selloff and political uncertainty). As the ascending weekly stochastics gain in strength, we could well see a break above the 100-WMA of 1250 and an extension towards 1,285. In order for EURUSD not to lose support below 1.2820-30, we may have to see a follow-up in Gold/USD towards 1645/50.See chart & full analysis here

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