Gold is relatively high as a hedge for worthless currencies, e.g. the Euro will likely be printed at a high rate as part of the failure to get out of the Euro-Zone mess.
Our "guess" is that political pressure in an election year will prohibit Uncle Ben from any further US$ printing press activity while the Euro gets printed like monopoly money. Pay attention Forex friends!
Once the dollar stopped getting printed with nothing to back it up, the dollar has rissen hugely. At that point, gold has lost some of its luster.
The Euro is trash. Enough said. The slightest hint the US will print more $, gold will be well over $2000. One of the Fibonacci retracements is well over 60% and that is our anticipated range for the US$ price of gold in that case.
