Wow! Gold has reached a milestone of $125 today! At the end of the day, the prices soared in 20 minutes from the previous all-time high of $2,075 at 2020 to the new all-time high of $2,146!

Gold in the 15-minute chart Here you can see an explosion. Last night at midnight, the prices were at the orange line. Then came the ignition and it went up for 20 minutes. Meanwhile, we are even 120 US dollars lower than the new all-time high. This is still completely in order due to spontaneous overreaction.

A new all-time high always triggers a few stops and then the price quickly climbs higher. After all, a closed short is no different than a long trade. So surely some people looked at their chart this morning in surprise.

(Source: Tradingview.com)

That something like this happens overnight is of course a bit mean for traders in our time zone. You miss out on all the action if you look at the charts in the morning with your coffee. But I don’t think we’re alone here. The majority of traders will have missed this move. After all, it is actually closing time at this hour – even in the US.

Will seasonality still get its due? A few days ago I had a bit of a laugh about the fact that the seasonal low for gold was approaching. On November 28, the gold price has averaged the respective yearly low in the last 10 years. After that, the prices rose again.

This didn’t fit in with us at all this year. We had the yearly low at around $1,800 at the end of February. Last night we were almost $350 higher!

Seasonality is obviously taking a break this year. Exceptions confirm the rule. That’s also the case with the snow height in southern Germany. But I haven’t found any correlation to the gold price there yet.

Conclusion – How gold is going from here The pullback after the extreme rise today is perfectly normal. Now the prices will probably need a few hours or days to process this. After that, the rally could certainly continue.

But rather in a moderate way. What happened last night was an absolute exception. We’ll have to wait and see. At around $2,010 we had the last high in the upward movement. The prices could go there now to continue their ascent from there. Whether it will come to this, we have to wait and see.

What we should definitely keep in mind: If gold has made a new all-time high, the prices often get a slap on the wrist for months afterwards. The question is now whether this was already the new all-time high or can the bulls still put a bit more on it?