LOTS of reasons to love Gold here (and silver for that matter):
Breakout of 8 year resistance and technically perfect test/retest
Above ALL major moving averages with bullish crossovers behind us
Previous 5 FED Rate Hikes have produced sharp gains and market highly expecting next hike - 3/21 - 95% chance
Recent Inflation Figures much Higher than expected
Now that we have most probably begun Gold's intermediate decline at the triangle top and channel re-test, I am able to set my targets for trade possibilities.
Initial decline to fork median line and strong support @$1200 - A
Impulse bounce to 0.382 Fib and Fork's upper support ~$1228 - B
Continuation decline to lower support of the triangle and bottom ~$1165 -...
Gold is testing back it's channel from Dec' 16, at resistance from 2011 ATH trend line, and due for an intermediate decline in it's cycle pattern.
DXY and Silver charts also support this direction as silver turned down on Monday and DXY is at support in its long term channel. Those charts I will post below.
TP 1: $1200
TP 2: $1165
My belief is that Gold has reached the Centerline target and will now fall to 1160 or possibly to the bull trend line from 2007 (Dark Green) (2nd chart in comments shows bigger picture - bull/bear trendline origination).
If we fall past 1160 and bounce from the Green trendline, I expect a more rapid bounce through the Centerline and head all the way to the top...