I advocated buying gold on a break of $1641 yesterday but it has been a rocky ride so far. After a rally to $1647, gold slipped to $1634 but is now back in the money at $1643.
The close above the 200dma bodes well but the lack of follow through is a concern. Dovish or QE talk from the ECB could be the catalyst for a quick move to $1675. I like longs here, adding at $1660.
