I think the current environment is very supportive for gold. There is still a considerable amount of fund buying interests on price dips.
Yingxi Yu
Any price dip has been quite well supported by fund buying, and aggressive selling has been discouraged. The positive sentiment remains very strong and people are looking for further price gains.
people positive strong price sentiment selling
I think near-term volatility is going to persist. There is a general sense of lack of direction in the market.
sense direction market lack
The strong price action and impressive technical trends in various currencies suggest prices should remain elevated in 2006.
action strong price trends
Whether or not the rally can continue hinges critically on how long investors decide to stay in the market.
market
A lot of investors are just buying because the price is going up, then trying to find reasons to explain it.
find reasons price
We believe that the fund interest in silver is built upon a much narrower base of investors than gold, leaving it more vulnerable to big price moves in either direction.
leaving gold direction vulnerable interest price big
Prices are being driven up by hedge funds, which are buying platinum because its fundamentals are looking good. Platinum has been in deficit for the past six years, and it's expected it will be in deficit this year.
past good
environment gold price interests
Technical trends are looking very strong and people find it very risky to go short right now. I think that's why the rally has been continuing.
people strong find trends short
Short term price trends will continue to largely depend on gold.
gold price trends short
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