Regarding Gold v. S&P (Chart 3), they've been dancing since the beginning of the year trading between .99-1.02. When gold broke out at the end of 2009 (Oct-Dec) the Gold/SPX ratio went from .95-1.10. Por último, look at the USD/SPX ratio (Chart 4). With the recent rally in the S&P and a stagnant Dollar, the USD/SPX ratio is now testing the 50 day moving average and December support level. If Marc Faber is right that the Euro gets squeezed to 1.40, that will support the USDX correction trade.
A bunch of decisions need to be made in the overall market. I'm waiting for a big catalyst even if technical. Btw: Greece braces for deeper spending cuts, as EU tightlipped on rescue plan (AP) ("We are today in a state of war in front of negative scenarios for our country," Prime Minister George Papandreou said.").
US Dollar Index (courtesy of stockcharts.com)
US Dollar/SPX Ratio