The gold markets fell hard on Thursday, losing more than $50 an ounce. The selloff was in concert with a move down in many of the larger commodity markets dues to fears of European debt contagion and the impasse that the US “Super Committee” seems to be in at the moment. As a result, many markets sold off. The long term outlook for gold is still very good, but because of this new round of fear, we could see some more room to the downside in this market. We still like buying gold at lower levels. The $1,700 level is the first mark that would interest us, and depending on what the daily candle looks like in that area, we could buy. For now, the market looks like it needs to have a few days to shake out the weak longs and as a result we are flat of this market for a few sessions.