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Gold Could Be Forming 9-Year Bullish Cupping Pattern

ByChris Kimble
Published 07/31/2020, 11:27 AM
Updated 07/09/2023, 06:31 AM

Is gold forming another long-term bullish cupping pattern? Sure could be.

Is the long-term pattern complete? If history is a guide, it would suggest not yet.

When gold attempted to break above its 1980 highs, it first needed to form a “handle.” It did so by declining around 30%, which most likely shook out a good deal of gold traders, thinking that a double top was forming.

Gold is currently testing its 2011 highs at (2), where it looks to be forming a bullish cupping pattern over the past 9 years.

Gold is attempting to breakout above the 2011 highs and sends a very bullish message. If history is a guide, it is possible that a handle needs to form first.

Latest comments

A 30% decline would send gold back to 1300s. Not happening.
gold price may hit $2500
its a very interesting overlay of the two that clearly hasnt been present since the last handle. Very in-depth look for those who are deciding to play the Long etf's in their portifolio.
Very interesting.  I know very little about charting, But I know that the government has just created an impossible amount of money that can never be destroyed.  There are two dangers in this.  1.  That amount of money can never be paid back and will be a drag on the future 2.  Creating that money endangers the Dollar's role as the world's reserve currency.  If we loose that roll than I think there will be massive inflation.  There may be massive inflation anyway. 3.  Commodities like Gold and Silver cannot be created out of think air like these dollars can.  Same is true for everything you buy in the grocery store.  So it's not only Gold and Silver that will be going up in value, but that can of spinach and that head of lettuce.  So when Gold is selling for $10,000 and ounce, you can of spinach will be $100 an you won't blink an eye
Buy JNUG before even $2,000.
It is not entirely true, but I won’t waste my time explaning it to you
if gold sell for 10k. United states will be a 5th world country. dollar can't be replaced for the century no matter how much they print. 08 crisis has clearly show it. this is a pandemic not a plague.
Technical analysis is specious nonsense. Astrology for the autistic. A feeble, magical-thinking rooted attempt to quantify the qualitative. Nonsense. Im bullish gold for sure, but not because of magical patterns claimed to exist in pricing charts.
What do you guys think gold will reach? Realistically
it depends on your horizon.
By the end of the year, $2200, by the end of next year $3000
the thing thati mean is that the second cup in my opinium the handle is ,u understand !
Central banks will generate unlimited QE and zero interest to save the world from economic collapse. Total amount of QE will be much greater than 2008 financial crisis. Addition of confrontation between China and USA  could eventually push gold price much higher in next two years
Alex, QE in 08 was 1.5T. Current QE has already exceeded 3.5T. I agree with you, this time gold will hit unimaginable levels. Maybe 4.5k to 7k per oz. Dec'22 will most likely be the peak for gold.
Since this "cup" is much smaller than the last one, it's possible we don't need a "handle" anyway?
Change could for has formed. Now we just need the handle to buy the dip and get rich!!
i m very sorry but dis looks like  s---t to me , as i can see the handle is there already , uptoyou if u want sell some gold or miners but i m not !
I think the same. The handle is clearly there already
  need to check a docter , new glasses !
Interesting, but I don’t believe that gold will have any significant pullback and it will run straight to levels around 3k next year end
If the stock market crashes + weak economy that we are in traders move to gold (safe haven) gold could possible smash all existing records by December my theory
 If the stock will crash badly, gold might start to underperform, but it will pick-up better than before. For a very long term, doesn't even make sense to sell at all, just hold long. In this terrible world, that's probably the safest asset still remaining out there
I never mentioned selling a position. just my theory on whats about to unfold. my prediction
Always great insights!
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