Everybody seems to be talking about the strength in the dollar. That gave an impetus for some profit-taking in the gold today.

It was a perfect storm for gold today. Lower dollar. Higher oil prices. Base metals rallying. Commodity interest across the board. Funds are not afraid of buying on new highs.

It was a combination of long liquidation and fund selling. We do see rising copper stocks and that is some of the impetus behind the recent pressure.

We had some early fund buying this morning. And we had some midday trade buying.

We opened the day stronger and continued a little higher, and then as a slight surprise to some, ended up holding the positive tone throughout the day - whereas sometimes on days like this in the past you've given up the bulk of those gains. Silver, specifically, closed relatively close to the highs.

We look for near-term resistance at the psychological area just above $550 and more importantly around $554.