The handle is now forming on our prospective cup and handle formation.
The formation will be confirmed if gold can break up through 1800 and keep rallying after a retracement in the handle of at least 20% and no more than 50%.
If gold falls through the 50% retracement then this is more likely a trading range and gold will fall lower towards the bottom of the channel. I do not think that this will happen unless stocks also fall quite sharply. Hint.
Minimum up side target is 2,050 with a chance for 2,300 on this rally leg.
