Gold Update…Santa Rally or Bust?

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I last wrote about gold in my post of October 9th.

Price is slipping back to its critical triple-bottom support level of 1180, as shown on the 5-Year Weekly chart below. I’m watching for a break and hold below that level for a possible re-test of the 1000 level as I mentioned in that post…particularly if the SPX:VIX ratio breaks and holds above the 150.00 level, as I mentioned in my post of October 24th.

The Daily SPX:VIX ratio chart below shows price (as of Thursday’s close) approaching the 150.00 level…however, the Momentum indicator is already approaching the 20-year extreme overbought level, once again.

So, the question of the week (and for the remainder of 2014) is, which of these two charts will be taken beyond their extremes and into a Santa rally or bust? Care to hazard a guess as to which one the Fed would support (translation: “permit”)?