$XAU (Gold) experienced a sharp shakeout in early February, briefly dipping toward the $4,400 zone before mounting a strong rebound and reclaiming levels above $4,950 by Feb 6.
The correction followed a parabolic rally that sent prices near a record $5,600 peak in late January, as overheated momentum gave way to swift profit-taking.
Silver saw even steeper volatility, plunging toward $64 during the sell-off before bouncing aggressively, though it remains well below its recent $121 high.
Despite the turbulence, physical demand remains strong. London silver lease rates have surged to roughly 6.3%, pointing to tightening supply.
Outlooks remain divided: some analysts expect consolidation in the safe-haven trade, while others still forecast gold averaging near $6,000 through 2026.
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