Bearish Gold Scenario: Triple Top, Head & Shoulders, Lower Highs
This chart will be unpopular for all the gold bulls and go against the argument that Gold is a store of value and a flight to safety during a financial crisis and inflation. The most eye opening part of this chart, is that it predicts gold to fall to $135 an ounce.
This is a very contrarian view at the moment. We just broke $2,000 an ounce in gold and we are in the middle of a banking crisis with inflation still a problem.
But what if we are in a deflationary environment or we get into a global depression? What if Bitcoin becomes adopted as a reserve currency and viewed as a better version of gold so people ditch the physical one?
Who knows what could happen, but gold needs to break through it's triple top.
Otherwise, gold is forming a large head and shoulders pattern with lower highs and lower lows.
This is a 3 week chart so it will take a long time to play out.
Everyone is so bullish on gold at the moment. You can't find any bears. When everyone is so bullish and agree on something, that is the time you should worry.
The heard is usually 100% wrong in every case.
My view? I have zero idea what gold will do. If this works out, then it was a wild ass guess so do not trade this idea.
I think my charts are right 5% of the time, so the chances are this one is way off.
Thanks for checking out my idea.
This is a very contrarian view at the moment. We just broke $2,000 an ounce in gold and we are in the middle of a banking crisis with inflation still a problem.
But what if we are in a deflationary environment or we get into a global depression? What if Bitcoin becomes adopted as a reserve currency and viewed as a better version of gold so people ditch the physical one?
Who knows what could happen, but gold needs to break through it's triple top.
Otherwise, gold is forming a large head and shoulders pattern with lower highs and lower lows.
This is a 3 week chart so it will take a long time to play out.
Everyone is so bullish on gold at the moment. You can't find any bears. When everyone is so bullish and agree on something, that is the time you should worry.
The heard is usually 100% wrong in every case.
My view? I have zero idea what gold will do. If this works out, then it was a wild ass guess so do not trade this idea.
I think my charts are right 5% of the time, so the chances are this one is way off.
Thanks for checking out my idea.