For years moving averages have been an important guideline for both the bulls and bears in the gold market as well as other markets. Currently with gold at $1654.30 which is off $9.10 today, the bears have a slight advantage going forward.

The daily chart linked below showing gold's last sale is below the 50 day(1676.27)and 200 day(1699.17) moving averages. It's always been the focus of the bears to pressure gold each time it approaches one or two of these averages when below them. As you can see from the chart selling pressure is put on the metal each time it nears the 50 day average. This should be expected for added perspective on this market until such time as gold flip flops higher and past them. When this occurs, the opposite is true.

It will be interesting to watch gold during this anemic expected short term period. If the metal trends lower the shorts will have their work cut out for themselves as $1625 and above as this is the buyer's hunting ground of certain central banks, especially China. The danger for the shorts is their presssure is mainly based on paper products while the big buyers under the market want the physical stuff.

The bluff that the connected bears are now running shows that their handlers desperation is quite obviously high. Looking down the road, who will pay for the massive losses that these paper shorts will have to cough up? Of course, the public. The reaming of the public when this plays out will be monstrous.

http://stockcharts.com/h-sc/ui?s=%24GOLD