Next bullish pattern target for gold is at $8,195After my smaller timeframe gold chart played out to an exact T with absolute precision, I decided I woud zoom out to try and find the enxt possible pattern and breakout target. I am on the log chart here and we can see how on the long timeframes on log chart, the gold chart is just a series of bullflags. Of which the one with the longest flag pole we have just recently broken up from, when taking a measured move of that flagpole shown here with the tan trendline, and placing it at the breakout point of the flag, we can see there is a measured move target that goes all the way to $8,195. Impressive if this one plays out with anywhere close to the same precision as my last gold chart did. *not financial advice*
Xauusg
#Silver : Possible bull flag setupWe need to watch the price action on silver
The structue of the flag needs to keep forming and a rsi/stoch reset with a pin bar shakeing out traders at the bottom flag support may be a sign of good entry.
If the flag structure does not appear, or fails then we are looking at 23$-22.5$ again
Gold´s consolidation could morph into a correctionGold´s consolidation could morph into a correction but the mantra remains to buy the dip
Gold continued its consolidation and has not been able to establish a clear and sustainable trend. It´s been dancing around the falling 3 year downtrend line ($1,247) since mid of February. Last week´s top at $1,262 probably marked the begin of the expected pullback and gold might now roll over until June/July towards its rising 200MA ($1,141). Note that gold moved below its 50MA ($1,133) for the first time since early January. This confirms that the bulls are running out of power which is very typical in spring.
There are currently a couple of super bearish analysts out there and to a certain extent I can comprehend their arguments. Indeed a Head and Shoulders pattern is possible. Also you could argue for a classic ABC-correction pattern. Without a doubt Gold´s CoT-numbers are awful too but as I explained last time we can not approach the CoT-report with bear market standards anymore. The massive physical ETF demand has changed the gold market and during a bull market the commercial short position has reached levels north of 300k contracts many times.
Therefore I definitely don't see Gold crashing below $1,140. My 1st target remains $1,180 - $1,190. This is a zone where we can start buying again and from which Gold already could embark towards $1,325. The second dip has to be bought whenever Gold is reaching its 200MA. I guess we will get one or two chances until July/August to buy into a dip.




