After a day where gold treated us to perhaps the greatest intra day turnaround ever, what can we expect from gold now? Like Whitesands wrote earlier, it is very difficult to pinpoint an exact timeframe for a move, but there are always little hints the markets give us if we pay close attention. A move of such magnitude should not be ignored. I would think that gold should have little trouble getting up to at least $990 very quickly. There may be some sideways consolidation in the $955-$960 area, but that should not be a major obstacle. The real barrier could be at $990. Last spring as gold was falling from its record high in the $1030 area it made one futile attempt to recover and smashed into $990 from below. It could get no higher. Last month it blasted through $990 very briefly intraday,but got pulled back to that level from above. It had fallen back over $100 until the turnaround today. Very often in these type of situations, the third time is the charm. Gold has a very good chance to finally put the $990 resistance level behind it this time and move to new highs in the very near future, which in this case I would define as the end of March. Let's see what happens.
We may be about to really explode or it may be a steady move up bouncing against resistance levels and overcoming them on the way up...Like you said the kind of move we saw the other day can't be ignored...It looks like we are definitely headed toward substantially higher prices...It could end up being quite dramatic...Monetizing the debt as the fed announced yesterday is a huge deal.