As for gold, the earlier weakness probed, but did not break, the prior pullback low at $1714.32. Spot gold has since pivoted back to the upside to $1733 in what I consider to be a very impressive performance amidst a nasty risk-off adjustment period this morning.

If gold manages to hurdle its high at $1740.40 (Sunday evening), upside acceleration towards $1800 could unfold in the upcoming hours, also benefiting the SPDR Gold Shares (GLD).

Only a decline that breaks today's low at $1716.39 will argue that a near-term correction likely is in progress.

By Mike Paulenoff

Mike Paulenoff is author of MPTrader.com (www.mptrader.com), a real-time diary of his technical analysis and trading alerts on ETFs covering metals, energy, equity indices, currencies, Treasuries, and specific industries and international regions.

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