First, patience, grasshopper, on shorts. ES futures & options net shorts have been staying near YTD highs over the past month. Those are prime squeeze conditions. I think they're right, but any trade that gets crowded short-term tends to get shaken out.

Second, while metals may not have counterparty risk in the traditional sense, their main risk is currency wars. Right now there's a tailwind because the ECB hasn't expanded their bond buying program yet and US data is so weak (down rates, down Dollar, no down Euro pressure, up metals). But don't think there won't be ongoing leapfrogging with the ECB renewing pressure on the Euro. Getting QE4 talk from the Fed would tilt towards a longer-term run on gold. Until then, trading it and protecting gains quickly looks like the most prudent approach.