• 525 days Will The ECB Continue To Hike Rates?
  • 526 days Forbes: Aramco Remains Largest Company In The Middle East
  • 527 days Caltech Scientists Succesfully Beam Back Solar Power From Space
  • 927 days Could Crypto Overtake Traditional Investment?
  • 932 days Americans Still Quitting Jobs At Record Pace
  • 934 days FinTech Startups Tapping VC Money for ‘Immigrant Banking’
  • 937 days Is The Dollar Too Strong?
  • 937 days Big Tech Disappoints Investors on Earnings Calls
  • 938 days Fear And Celebration On Twitter as Musk Takes The Reins
  • 940 days China Is Quietly Trying To Distance Itself From Russia
  • 940 days Tech and Internet Giants’ Earnings In Focus After Netflix’s Stinker
  • 944 days Crypto Investors Won Big In 2021
  • 944 days The ‘Metaverse’ Economy Could be Worth $13 Trillion By 2030
  • 945 days Food Prices Are Skyrocketing As Putin’s War Persists
  • 947 days Pentagon Resignations Illustrate Our ‘Commercial’ Defense Dilemma
  • 948 days US Banks Shrug off Nearly $15 Billion In Russian Write-Offs
  • 951 days Cannabis Stocks in Holding Pattern Despite Positive Momentum
  • 952 days Is Musk A Bastion Of Free Speech Or Will His Absolutist Stance Backfire?
  • 952 days Two ETFs That Could Hedge Against Extreme Market Volatility
  • 954 days Are NFTs About To Take Over Gaming?
  1. Home
  2. Markets
  3. Other

Will It or Won't It?

Gold has traded back and forth, moving in a narrow range, bouncing from conflicting patterns. Below is the Daily chart of GLD. I wrote several days ago the notion of conflicting patterns. The first was a bearish head and shoulders top identified below. I also discussed one of the expected options was a false break down and then reversal, which so far has taken place.

SPDR Gold Trust Shares Showing March False Breakdown

I thought that might happen because by breaking down and reversing, GLD would finish building out a larger conflicting pattern of a bullish head and shoulders pattern identified below. GLD has moved back up and now testing its next line. Confirmation is a move above the neckline, which forecasts a target of $123, based on the pattern.

SPDR Gold Trust Shares Showing 123 Target

All that being said, GLD has yet to make up its mind, and will it or won't it break out. So, we also need to understand what the counter view is because we have a new conflicting pattern. Below, I've labeled what the bearish alternative is for the time being.

SPDE Gold Trust Shares with Elliott Wave Count

Will it or won't it? The bearish pattern above is a wedge pattern, and wave "e of B" could provide a little splash over and then reverse, and this is why a prudent trader would wait for a solid confirmation of a break out to the upside to confirm the bullish head and shoulders pattern. It's also common in this form of back and forth to continue to see conflicting patterns unfold, and its only price that eventually confirms which pattern is dominant.

Hope all is well.

 

Back to homepage

Leave a comment

Leave a comment