Gold For The Right Reasons

From seekingalpha.com

The 1650 level in gold is worth watching for a potential intermediate-term buy set-up - see Figure 1. Likewise any type of bottoming formation -- double bottom or head & shoulders bottom -- just above that level needs to be monitored. Gold has seen its share of long capitulation over the last quarter, particularly from hedge fund redemption's, which in many cases owe more to losses in other markets - i.e.: short stock, currency, and securities positions --than from the correction in gold. I view the 20% correction seen from 2011 thru 2012 as a healthy occurrence which likely sets this market up for a move back up to ... (full story)