Gold 2 year weekly chart

Here is a two year weekly chart of the World Gold Index. It is from the 2008 lows of $691 an ounce.  You can see that Gold has had 4 peaks since then, Feb 09, Dec 09, June 10 and Nov 10.

The fall seasonal rally last year (09) started in Sept (2nd) and peaked in early December (3rd), about 3 months.  The rally this year started in August (July 29th reverses the downtrend), one month earlier than last year. If it were to rally the same duration as last year, it would take it to the end of October. But it continued rising another week and a half to a peak of $1424 on November 9th.

Fund managers may have sold and taken profits for the year already. They may see that the current rally started one month earlier and may be ending a bit earlier than last years Dec 3rd peak...?

There is a 'Head and Shoulders' pattern forming which is typically a Bearish formation. (But not always the case). The left shoulder's low is $1315 and if this were to be pierced, we will most likely head into a year end correction. $1388 is the first resistance level that would need to be pierced to produce a bullish trend to make a move to the $1424 all time high.