This chart above tracks the COT: Commitment of Traders report. If you click and enlarge it, you will see circled below in blue and red, areas representing where Commercial Shorts are relative to the gold price. Red circles represent High Commercial shorting activity. Blue circles is low commercial shorting activity
What does this mean? Commercials are Large Gold Mining companies, and Banks that have gold holdings, or Banks that borrow gold on paper from the Fed. They sell into gold rallies to protect their own profits, and frankly to just game the system because they can. Historically, they've been good at trading - in no small part because the Fed never makes the banks pay them back if they lose on their bets. They just charge it off to the Taxpayer.
However, it's good to track what the Banks are doing, because they can temporarily overwhelm the thin futures market and force the price down. And then they go long once the price has dropped. It's a big game to them.
The chart above shows that the Commercials still basically feel this rally will continue for some time as their short position is relatively small.
One more tail wind for gold.