Agreed, usually triangles are a continuation pattern. Especially descending triangles in an uptrend. However this looks more like a symmetrical triangle and with symmetrical ones it could go either way. Also please bear in mind that this is a one hour chart which is also in a squeeze. I'm 90% confident that this will continue and it isn't another fakeout rally, but there's that 10% of me which is always cautious due to JP Morgan!
Danny, as you can now see. This wasn't a continuation triangle as you mentioned. The gold and silver market broke that bottom trend line and plummeted as I said it could.
Usually a triangle breakout continues in the direction of the trend proceeding it. This isn't a topping formation.
ReplyDeleteAgreed, usually triangles are a continuation pattern. Especially descending triangles in an uptrend. However this looks more like a symmetrical triangle and with symmetrical ones it could go either way. Also please bear in mind that this is a one hour chart which is also in a squeeze. I'm 90% confident that this will continue and it isn't another fakeout rally, but there's that 10% of me which is always cautious due to JP Morgan!
ReplyDeleteDanny, as you can now see. This wasn't a continuation triangle as you mentioned. The gold and silver market broke that bottom trend line and plummeted as I said it could.
ReplyDelete