The gold is moving within an ascending triangle

May 19, 2014 by

The gold is moving within the ascending triangle, shown in a Daily chart below.

As it is getting squeezed between support and resistance lines, it is most likely to break upwards or downwards trend line.

On Friday, it has declined up to the support level of 1287.51. Since then it is trying to test the next resistance line of 1305.52. If the precious metal will clearly break through the resistance line, then has expected to follow the upwards trend. Just bear in mind that, if it breaks through support line, then you can expect a sharp break the wedge which is normally follows the opposite direction of the trend.


xauusd daily 19.05.2014