The Really Useful Gold Thread

You chaps seem awfully sanguine about the short term prospects for Gold. We now know that the principal cause of the recent over extension was a bunch of Japs getting overly excited about a depreciating yen. The Japs have a history of getting over excited in markets (eg Nikkei 42000, Tokyo property 1990). In recent years gold has always returned to the vicinity of the 200dma (around $448) after similar excursions. This time it may even overshoot due to recent extreme readings.

I get the sense from here and reading widely that bugs are looking to jump back in around $480. It's seldom that easy. All I'm saying is return cautiously until it's clear the $480 area will hold.