It seemed fairly clear last week that there has been a concerted attempt to keep the Euro at or above 1.44 .  A couple times, when the Euro broke below 1.44 it tried to run and was almost immediately turned back around.  I am convinced that the Central Bankers do not want the Euro to show any weakness until they can bring the PIIGS debts under control - that won't happen.  As usual, others can say what I want to say better than I can:
http://www.zerohedge.com/news/podcasting-charts-matter-next-week-continuing-case-weaker-eur

http://harveyorgan.blogspot.com/

http://www.zerohedge.com/news/things-make-you-go-hmmm-such-similarities-between-eruption-mount-vesuvius-and-government-bond-y

I covered my PM hedges today going into the weekend as you never know what can happen. This makes good reading: http://www.zerohedge.com/news/things-make-you-go-hmmm-such-similarities-between-eruption-mount-vesuvius-and-government-bond-y

Bernanke held the line - for now.  The Dollar is a little stronger and PMs are a little weaker.  Now we watch Europe.  The best commentator on this is Jesse's Cafe:

http://jessescrossroadscafe.blogspot.com/

This is a different view from mine on the Dollar.  For every buyer there is a seller.  They could be right but either way the Dollar is going to make a move within the next few days.

http://www.321gold.com/editorials/merk/merk082511.html

Gold and Silver are holding after big drops yesterday but I think they can drop more.  The Dollar is a little stronger and soon might break upwards out of the current chart formation.  There is nothing to do but wait the markets out and of course to see what Bernanke comes out with tomorrow and POTUS says on September 5.  Europe is still a mess and nothing has changed.  The Hedge Funds seem to have built up a big short position on the S & P indexes.  The perfect trade ( at least from the Fed's point of view ) will be to see the hedge funds trapped long in gold and short in stocks.  So somewhere in here the stock market may start to bottom out but perhaps not yet. In the interim, we could see sharp up moves as "announcements" are made followed by selling pressure and equally sharp down moves as Europe deteriorates. I am still long EUO and am still riding hedges on my physical metals position.

There has not been much to say.  Gold and Silver are retreating and the Dollar is coiling for a move.  Everyone is waiting for the Jackson Hole Meeting followed by the POTUS speach on September 5.  The Dollar is tending to be soft which is amazing given Europe's troubles.  Clearly, there is an expectation that there will be added stimulus to help save the thieves in Washington and on Wall Street and that POTUS will try to buy votes with give away programs.  If all this happens the dollar may give ground from here as it breaks the current support levels.  At some point there should be an explosive rally in the Dollar - so I would rather be long than short.

Gold and Silver are falling.  Tomorrow is an options expiry day and typically the dealers have used this as an occasion to crash prices.  In the past the rally picks back up a few days after the options are off the table.  Again, things are coiled for a move.  If we get more of the same from Bernanke and POTUS we can look for the markets to move up.  This is a dangerous time to be trading because the huge Hedge Fund long position in Gold is a tempting target that the dealers will find hard to resist.  More important Central Banks need to shake out some of the Gold held in private hands to ship to Venezuela and to scare away copy cats.
So.. In Summary, my expectation is that PM's will continue lower and the Dollar will go higher but for that to happen the markets need to be surprised by a sudden sense of responsibility from those in charge.

I have attached this post before.  Gold has had a good run and is due for a correction.  Many of the hedge funds are heavily long and we are approaching an options expiration week, which is when the dealers usually play games.  If there was a time for the powers that be to knock gold, this is it.  This doesn't change the over all long term bullish stance on gold but these reactions can be hard and fast and very uncomfortabl.

http://armstrongeconomics.files.wordpress.com/2011/07/armstrongeconomics-is-paulson-next-panic-trade-070411.pdf

Over the last twenty years or so it has paid the US to have a weak dollar and export manufacturing jobs abroad because there was enough domestic employment demand from service, banking and other sources.
As we approach leaner times it is clear that we need new sources of employment and that can only come from bringing manufacturing jobs back home.  People argue that to compete in the world export market we need a "cheap" dollar.  That is true if the focus is on exports but the US economy is so large and the recession has been so bad that our economy could probably expand for several years just on domestic demand - which of course will only be there if people are employed and have money to spend.  If this takes hold you can see the US move towards a more protectionist and "Fortress America" stance and make it difficult for foreign manufacturers to compeat in our domestic market.  A strong dollar enables us to buy raw materials more cheaply.
Here is a good article on other reasons why the dollar could become very strong:
http://armstrongeconomics.files.wordpress.com/2011/08/armstrongeconomics-big-money-depression-081611.pdf