In the meantime, the short term correction we suspected would soon begin has indeed commenced (there was one more strong up day right after the above mentioned post). As we pointed out, with gold approaching its 200-day moving average (silver had already reached it), one had to expect a pullback regardless of what the medium to longer term trend would eventually turn out to be.

Both metals have become slightly overbought as well, so traders are evidently reluctant to jump aboard at this particular juncture. There is however some statistical evidence that gold's recent close above the 200-day moving average may be more meaningful this time.