The market has been rising without any major correction since late last year. This sort of correction was largely anticipated and it could be taken by some as a healthy feature to the market.

The fund interest is still very strong, probably also encouraged by the latest CFTC data that shows a fall in the net length, giving speculators more confidence to extend their long positions.

The downside appears quite limited at present...There are factors pointing to further gains in the gold market in the short term.

This has the potential to push prices higher. Gold has always had a traditional role as an asset which holds its value in times of uncertainty.

The market conditions are likely to remain quite nervous over the next few days and near-term weakness in the TOCOM market cannot be ruled out.

I think near-term volatility is going to persist. There is a general sense of lack of direction in the market.

Interest still exists even at such high prices.

Impressive gains are seen in platinum and palladium, which are rising strongly above their recent ranges.

A lot of investors are just buying because the price is going up, then trying to find reasons to explain it.

The weaker (gold-dollar) correlation late last year and early this year was due to the overwhelming enthusiasm among the speculative community to drive prices higher.