Spot Gold Chart 12 Oct 2009

With markets closed in both the US and Japan for a national holiday it was hardly surprising that the price action in spot gold prices was muted and on such days it is often interesting to ponder whether gold is merely a commodity or whether it is returning to its original status as a currency.  As the US Dollar continues to spiral out of control just how high can the gold price go?  From a technical perspective yesterday’s daily candle ended as a doji to follow that of Friday as spot gold prices took a breather before deciding whether to move higher.  However, the shooting star candle of Thursday continues to cast a shadow on the daily gold chart and it will come as no great surprise to see gold prices fall as a result once gold trading volumes return to more normal levels in the next day or so.