Gold turning higher within triangle formation
Gold is pushing higher this morning, following a sharp move lower yesterday. This came off the back of a move into $1356 resistance, with the market clearly in a consolidation phase. This current move is coming off the back of a short-term support trendline and we could see this hold up.
Otherwise, a longer-term ascending trendline (currently $1337) would need to be broken for this current triangle pattern to come under pressure. Essentially, it seems better to be long on this market from the lower end of this consolidation pattern than short at the top.
This is owing to the wider uptrend that has been in place so far this year. Given that fact, the exit from this symmetrical pattern would be expected to come to the upside. However, the $1356 level clearly represents the number one resistance point for the time being.