Symmetrical Triangle, wait for break and retracement to short
Cotton Ascending Triangle Breakout Long on 40-50% pullback from breakout line
Rounding top, descending triangle or a rectangle distribution top. Neutral until formation break, negative bias due to distribution top.
We've seen a sharp rise from 1086.60 to 1264 followed by a formation of a pennant. Then we've seen a breakout of that pennant and a retracement to the apex of the pennant. If we project the flagpole of the pennant upward, we obtain a minimum measurable target of 1400 for gold. Our SL will be at the low that touched the pennant apex.
This sharp fall we are seeing now could very well be the end of the 34 year cycle and the beginning of a new cycle.
Bill Gross from Janus Capital tweeted that he expects the the spread between the German Bund and the US 10y T-Note to fall dramatically. In my technical view, the spread has formed a head and shoulders and we could see a breakdown below the neckline. Then it would be off the races!