Gold price soared to record highs of $1,754/once, close to the historical peak during the financial crisis in 2012. This is logic as investors see Gold as a safe haven during economics turmoils. But the Monetary System needs the society to remain faithful to the fiat currencies and therefore will do everything they can to influence the gold price. Indeed, the Gold peaked after a long rally and now see consolidation around the $1,720 looking for economic recovery signals before moving to the next level or retrace. I see a retrace coming before moving to the next high. Head and Shoulders pattern formed at the top provide confidence on a retrace to the support level of $1,685. Tomorrow well see.
Looking at it from a non-analysis point of view. The economy will surely be in a fear-fuelled situation this week definitely. Therefore GOLD should keep moving on up. I reckon next week you start seeing shorts etc.
QuantVox
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@TomDirse, Gold is a very special financial instrument that confronts the interest of the financial system and face downside pressures from the financial institutions. My experience is that Gold doesn't show rallies but climb in steps and face reversals. I see Gold reaching 1,800 and returning to the 1,300 level.