Gold Weekly Chart Descending Triangle

We have watched this chart for many months now as the descending triangle has formed. It is time for price to make a decision.  The 65-week MA is a strong magnet line for gold price, sometimes a year or three may go by but price always makes its way back.  Price has come back to the 65-week and overshot but very minimally. The descending triangle is textbook, it would be surprising to not see it play out. Should failure of the base line at 1570 occur, the lower target would be 1225. Watch the pink line in the sand, the intraday low over the last year, if that level at 1525 fails, gold will likely collapse.

On the gold bull side, the green lines show a long and strong profile for recent price action and the indicators are at or above their 50% levels.  Watch the RSI 50% level closely for the days ahead. Price is at the top rail of the triangle so gold will either jump up and out of the triangle at 1625 and higher, or, receive a spank down from the top rail and head down towards the base line again.  If the breakout to the top side occurs, price will test the 65-week MA at 1653 as resistance and if price would break thru that, all danger for gold will pass and the bulls will be on easy street.

Current projection is for price to move lower from here, fall thru the baseline at 1570, thru the 1525 pink line and allow the descending triangle to play out with a target in the 1200's. If price would fail the base line, a back kiss would occur so the price movement would have many fits and starts as it trails lower. If gold can move up over 1625, this projection would be in question and if gold moves above 1653, the descending triangle pattern will likely become nullified. This information is for educational and entertainment purposes only.  Do not invest based on anything you read or view here.  Consult your financial advisor before making any investment decision.