you are putting words into my mouth .... I have never stated that I think there is a shortage of gold. However, I am waiting to see if a failure to deliver event does happen .... which is a part of the gold bug scenario. I am open minded on that.
Your fist sentence does not make logical sense to me. The volume is being absorbed ... that frequently means someone is accumulating .... at this pace yes they will have a lot to sell [if they so choose] but they will not be selling at this price.
You are correct that I am assuming it is short selling which is currently dictating the price action.
The central point though is what sense to make of that chart. For my money, whenever I see high volume not having a commensurate effect on the price it is a reliable signal [whether that be at the lows or the highs]
