Gold Might Drop Precipitously Later This Year

Looking at the weekly chart, it appears to be in an uptrend, but there appears to be a descending triangle top formation similar to the previous one. In order to fulfill the ascending triangle pattern, the price will need to drop by the end of January and if this thesis plays out, the bottom may be in around August of 2022. I'm not recommending going short right now, but if this triangle breaks down, doing so might not be a terrible idea. Also, buying gold in August or whenever we hit the trendline might be a good idea.

Comment:

The downtrendline line of the triangle has been breached significantly. This can happen with descending triangles prior to breaking down. It could also be the beginning of an upward breakout from a consolidation.

Comment:

Still in the breakdown zone so not writing this one off yet, but it's looking like gold is holding steady for now.