Actually - while I been sitting with my Gold problem I would like to know if anybody (rhodytrader???) has any input on this phenomenon:
If there is one thing in Forex that I am (was) sure of is the fact that the USD/ZAR and Gold on a weekly chart for the past year has always been in ABSOLUTE PERFECT SYNCH. You could take a date and a time on the Gold chart and find the same date and time on the USD/ZAR chart and the movement would match EXACTLY - ALWAYS.
Now that have been sitting with this little Gold problem of mine I have noticed something: the USD/ZAR seems to have gone totally out of kilter with the price of Gold (and remember that is what our currencies’ value is based on).
In other words - two days ago - the USD/ZAR was around 7.0900 or around there and the price of Gold was around $693.00 an ounce.
NOW - the USD/ZAR is around 7.0000 and the price of Gold is at around $686.00 an ounce.
In other words - how is it possible that in the last two days - the price of Gold has dropped considerably but the ZAR is continues to strengthe?
What worries me is that I seem to remember a very long, long time ago - the USD/ZAR went to something like $12.7500 or around there and the same sort of scenario was apparent and at the time there was talk of something or someone manipulating our currency (whether this was true or not I’ll probably never know) but does this kind of thing happen? Can this kind of thing happen - i.e. manipulation of the Gold price or a currency?
I mean to say - another thing - eveyone keeps saying that the USD is on its knees - and this normally would mean a high Gold price - but I’m not seeing this - totally the opposite.
Also - from all the reading that I have been doing - the general consensus also seems to be that Gold and Silver normally run in tandem with each other i.e. Silver goes up, Gold goes up but at this time - they are doing the opposite.
Anybody have ANY ideas on this and when my beloved ZAR is going to get back in line with the price of Gold?