We see here a rare triangular-type consolidation pattern. According to classical technical analysis this is likely a pendant-type pattern in the middle of a move.

Adding Elliott wave to the mix, we can see that likely this is a midpoint in a second (or third) corrective pattern for gold. Either way:

1) If price breaks down out of the triangle, it will likely continue significantly lower toward the tentative target.
2) If price breaks up out of the triangle, it will likely continue significantly higher.

Note there is a trend line (gray) also supporting the notion that a break up would result in a significant move. I would consider this to be approximate and rely more on the bounds of the triangle for a confirmed break.

Short entry: diving deeper into the elliot wave triangle on shorter time-frames, we are either on wave 4 (new low incoming within bounds), wave 5 (new local high coming within bounds), or, the triangle is already complete.

For scenarios A and B, a short as indicated above the local highs provides an EXTREMELY rare high RR macro-type trade opportunity. Invalidation is a break out of the triangle.

For the final scenario, the price should break down relatively soon. A highish-confidence but lower R:R short could be taken on opportunities given by your trading method.

It is possible that we've seen 2/3 corrective structures down and this is the bottom of gold for the time being. We'll know upon a break up out of the triangle--upon which I think a decent long could be taken.

In any case, this formation is worth paying attention to! Whether you get the indicated entry, break-out short/long, the potential for profit is high.