Gold closes in on $1200 in flight to safety

Gold nears important technical zone

Gold is up $10 to a session high of $1198. That's also the best level since November 23.

I have highlighted (and here) the $1200 level in gold as a key technical retracement point since the start of the year. It benefits from positive seasonals in January but the longer term picture is darker, including the 38.2% retracement just above. Somewhere in the $1200 to $1250 zone is where shorts consider scaling in.