Recently you may have think that gold has stabilized and bottomed. Today after the announcement of the Fed minutes, Gold price drop $13. The Fed minutes stated "suggested the central bank is looking for ways to exit or at least slow down the
controversial program in fairly short order."
Minutes from the Oct. 29-30 meeting showed that officials considered reducing
the size of the asset-purchase program even “before an unambiguous further
improvement in the [labor-market] outlook was apparent.”
From the technical perspective I think once next quarter comes, pressure will be on to decrease the QE and gold might plunge below the $1200 strong support! I am quietly waiting for that to happen. A breakdown off $1200 might set the gold price to head for $1100. A panic as severe as the April crash is not likely to happen, but a fast decline is still expected.
Having said that, I still think that $1200 is a strong support for this year. Gold might likely head for this figure and bounce off.
Next year when QE tapering expectations is high is the point to short the Gold futures or ETF!