A symmetrical triangle pattern has formed on a daily chart of gold. The pattern appears as prices move largely sideways with ever decreasing volatility and chart starts to exhibit higher lows and lower highs. Eventually, a breakout occurs to one side or another. As the previous trend was pointing downward, it is reasonable to expect that the next breakout will be to the downside.
On the present chart, the yellow lines form the symmetrical triangle. The cyan line offers the the entry points for those traders who want to place bearish bets. The green line provides the
The chart was built using the ChannelPattern script. You can download a MetaTrader 4 chart template for this gold pattern. You can also trade it using the free Chart Pattern Helper EA.
Update 2017-12-07: The gold price has broken down through the lower border and has hit the buffered entry level on Tuesday, December 5, at 14:06 GMT. The opening price was 1269.37;
Update 2017-12-29: After showing a very favorable movement during the first days following the bearish breakout, gold rallied and has hit the trade’s
If you have any questions or comments regarding this symmetric triangle pattern on the chart of gold, please feel free to submit them via the form below.