With US markets closed for the Memorial Day holiday and Canadian markets trading thinly, gold is poised for a major upside breakout from the ascending triangle which has recently formed:

Click to enlarge

Gold_ascending_triangle

The measured move above $1400 would target roughly $1460 with significant resistance still remaining above $1475:

Gold_Daily_5.27.2013

The current sentiment and market positioning backdrop is nothing but supportive of price and indicative of an environment ripe for an upside squeeze:

Fresh all-time low in Hulbert Gold Sentiment

Hulbert_Gold_Sentiment_5.23.2013

Gold futures market positioning continues to be highly constructive and supportive of a big upside move:

Gold_COT_5.24.2013

It's looking more and more like it is time for gold bears to cover their short positions and live to fight another day. Last year at this time gold experienced a $100 rally from major support near $1530 - this week could be just as interesting if gold is able to breakout above $1400 during the next 24 hours.