Gold Forecast December 14, 2012, Technical Analysis

The gold markets initially rose above the $1720 level on Thursday, but pullback in order to close just below the $1700 dollar level. This is a very sign, but we are still bullish of gold overall, and think that the pullback will be temporary at best. We still see quite a bit of support at the $1680 level, and as such we think the next $20 or so will be difficult for the sellers to take. Because of this, we are looking for supportive signs from which to start buying gold in the futures market going forward. We are long physical gold and the ETF GLD, so we never short.