From Today's Gartman Letter

"Turning then to gold and the other precious metals, rising reserve requirements, warmer weather that weighs upon energy prices and a limit-down move in corn has done what one might have expected them to do: put massive downward pressure upon metals prices. It mattered not yesterday whether one was concerned about base or precious metals, they all fell and they all fell hard… and they fell in US dollar and foreign currency terms, again mattering not which. We remain, as we have for months, bullish of gold in non-US$ terms, for although our positions suffered some damage yesterday it was not material and certainly it was not fatal. However, can we imagine gold in US dollar terms trading back down to $1115-1120 over the course of the next several days? Of course we can; but do we expect it to do so? No, actually we do not.

We are more concerned however about gold’s ability to trade back down to €770, having seen it trade to €800 only a few days ago. At this point, as evidenced by the chart this page of gold priced in EURs in eight hour increments going back into early October of last year, it appears that there is and should be reasonably strong support at €775. We expect that support to hold, but it may take a day or two or three of testing that support before our thesis is proven."