XAUUSD: Descending triangleThat's what happens in the chart patterns in process and why not to trade them. Earlier, was head and shoulders pattern was in the making, but then the right shoulder started ranging, and it converted into a descending triangle pattern. This is also a bearish pattern when the base of the triangle is breached (with a valid close and volume breakout).
When breaking down, the targets will be equal to the length of the dip (marked as a down arrow).
If it breaks the triangle in the opposite direction, then it will test the high again and will invalidate the entire pattern.
