The strong price action and impressive technical trends in various currencies suggest prices should remain elevated in 2006.

Technical trends are looking very strong and people find it very risky to go short right now. I think that's why the rally has been continuing.

We will not rule out the possibility of further weakness and prices are likely to remain volatile in a broader range.

Impressive gains are seen in platinum and palladium, which are rising strongly above their recent ranges.

Prices are being driven up by hedge funds, which are buying platinum because its fundamentals are looking good. Platinum has been in deficit for the past six years, and it's expected it will be in deficit this year.

With a lack of fresh catalysts to trigger a significant move in either direction, we expect gold to remain in its consolidation mood over the near term.