The $30 hiccup lower in gold yesterday has wiped out the enthusiasm from the bulls. Oftentimes, that kind of quick fall can damage the confidence the market, even if it retraces initially. As I wrote yesterday:
My take: We might never get to the bottom of what caused it but the drop will shake the confidence of the gold bulls and give them a reason to sell.
On the day, gold is down $11 to $1227. There is some modest support at $1220 followed by yesterday’s spike low of $1213.
Gold daily
