Every market corrects, maybe profit-taking or maybe allowing those who missed out, to get in.

The current open interest on the gold contract looks to a high after a very fast price move. It looks like 2008 may be repeating. A quick flushing out of the weak hands' open interest may take place before a real advance in price takes place. The correction may be on the back of a wider selloff of risk assets (either before of after US elections) as all assets suffer contagion selling (just like 2008).

This blog's view is a gold price correction of 10% to 20% range is a buying opportunity. Of course, we may see a very minor price correction.

The explosion of open interest (chart below) along with gold's price suggests 'all have loaded up', the big boys won't like this as they will not want to share gold gains with the public, one therefore can expect some sort of washout of the weak public hands holding gold future contracts before a real advance takes place. 

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Also price has meet channel resistance.

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Also price is near upper resistance of the previous high.

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