Quite frankly no body can say short term what will happen.

When the paper markets are multiple times the size of the physical markets price discovery takes a back seat to speculation. What we should expect is volatility in all markets and huge price swings in either direction is possible as longs liquidate or shorts cover when a trade goes against them.

Longer term the fundamentals will reassert themselves.

I would not be on margin and would add gold is not a short term investment here.

The fact of the mater is that there really is no safe place to hide anymore. Not even US cash/TBills are safe when foreign creditors could dump them for political or financial reasons whenever they want.