Gold was over due for a correction but I think it is almost done here. 1050 is where the Indians first bought 1/2 the imf gold. There is a large buyer(s) of size that have stepped up their purchases at this level. The comex short/long positions look flushed out.

The regular market is another story. It is way overvalued. I see a long drawn out correction that will probably test the lows eventually.

I could be wrong but that is my opinion subject to change with further evidence of the return of the credit crises.