Gold Erratic, Difficult to Trade

Gold prices are down over the past few days, currently just above $905/oz in the futures. I am waiting for prices to stabilize somewhat before buying again. Last time gold prices fell a few weeks ago, they found support around $890/oz.

The Shanghai Exchange has announced that it is going to begin trading gold futures soon. I suspect that additional gold trading in the world's most populous nation will likely drive gold prices even higher in the future. It will also ad additional liquidity and perhaps even make gold trading more stable and make technical trading more reliable. Gold may reemerge as the world premiere currency despite the effort of the world's central bankers.