There was a very deliberate bear raid on gold this morning as someone or some group dumped a large number of contracts into a thin market. You know the drill: Dr. Evil.
What next? In the short term this is a technical market, meaning that those with the most power and money, the market insiders, get to cast the most votes on price, particularly as the regulators are bought off or sleeping on the job, waiting for their own spin through the revolving door.
In the longer term the primary trend will prevail, and the primary trend is higher as long as real interest rates on the sovereign notes are negative.