Gold a-gaga! Though doesn't hurt to stay alert

Gold has followed through on the promise it made when breaking above it's consolidation range. Even though it pulled back briefly, that was a mere test pullback as I noted (in a tweet I think, or maybe a post here too). I got a bit worried by Ray Merriman's Friday comments about things reversing - I don't want to see gold reverse down (disclosure: long gold since April), and I would like to see it fall under $1200. My real and basic thought is, gold should be in an upward cycle now, and should benefit from currency fears. For that matter, let's say that stocks finally roll down sometime later this year - I'm guessing that will be accompanied by lower bond prices, and higher interest rates and higher gold and silver prices.

So I'm planning to stay on the long side of gold. Will remain alert of course, if it breaks support. But let's not assume that. Because the position trade should be to the long side for gold for a long time.