Spot gold prices ticked lower on Tuesday, dropping $2.50 by the close in London.
"I think we are going to track the Dollar, and track the oil price," reckons Bernard Hunter at ScotiaMocatta.
"Probably not a lot of new direction's going to come through for the next couple of days."
Gold trading in Asia overnight was as light as the metal's volatility.
China began a week-long holiday today. Trading in Tokyo reopened for two days after a bank holiday, but much of Japan's financial sector is now shut until next Monday for the Golden Week holidays.
Most of Western Europe outside the British Isles is closed for May Day.
Malaysia, Hong Kong, Thailand, Singapore and India were also closed today.
In the foreign exchange markets the Yen fell to a record low vs. the European currency as forex traders continued to focus on the Eurozone's monetary inflation data but switched pairings from the EUR/USD to EUR/JPY.
"I would expect things to be relatively quiet," says Jonathan Barratt at Commodity Broking Services in Sydney.
"[But] if the Dollar starts to weaken from here, we may start to see gold move higher back through the $680 to $682 level."
Gold futures for delivery in April 2008 traded at the Tocom rose 0.8% overnight, closing at the equivalent of $686 per ounce.
"The market is under profit-taking pressure," said Shuji Sugata, a manager at Mitsubishi Corp Futures and Securities in Tokyo to Reuters, "but the outlook of gold is bullish.
"There are many bargain hunters willing to buy on price dips.
"It's difficult to find a concrete direction in Asia this week as many markets are closed, but the key TOCOM contract will be supported at ¥2,600."
At today's exchange rate, with the Yen to ¥119.50 per Dollar, that would put a floor under one-year gold contracts around $676 per ounce. (Learn more about Japan's role in pushing up gold here...)
"I suspect there's probably some buying on the dips," reckons Darren Heathcote at Investec in Sydney.
"I think the consensus is that gold still has the potential to strengthen again. The fundamentals are still stacked up in its favor."
Heathcote expects the metal to trade in a range between $670 and $690 for the rest of this week.
"The metal reached a high of $693.75...but it never really managed to rise above it. As a result disappointed investors bailed out of their long positions," notes Wolfgang Wrzesniok-Rossbach in the latest Metals Weekly for Heraeus, the giant German refining business.
"The market often ignores in its day-to-day moves the underlying physical market. But maybe [last week] the massive level of scrap inflow that we and other refiners observed might have been too much for the market to take.
"It may have contributed considerably to the fall."
Sales of old jewelry may be expected to rise as the gold price continues to hold at today's multi-decade highs. But growth in investment demand continues to outstrip growth in supply.
Why are so many private individuals turning to gold? Find out here...