Sep 14, 2020, 7:42:09 AM
XAU/USD: wave analysis
The pair may grow.
On the daily chart, the third wave of the higher level (3) develops, within which the wave 5 of (3) forms. Now, the wave iii of 5 of the lower level has formed, a local correction has developed as the wave iv of 5, and the wave v of 5 is forming. If the assumption is correct, the pair will grow to the levels of 2130.03–2200.00. In this scenario, critical stop loss level is 1902.82.
Main scenario
Long positions will become relevant during the correction, above the level of 1902.82 with the targets at 2130.03–2200.00. Implementation period: 7 days and more.
Alternative scenario
The breakdown and the consolidation of the price below the level of 1902.82 will let the pair go down to the levels of 1862.02–1822.71.
Scenario
-
Timeframe
Weekly
-
Recommendation
BUY
-
Entry Point
1947.31
-
Take Profit
2130.03, 2200.00
-
Stop Loss
1902.82
-
Key Levels
1822.71, 1862.02, 1902.82, 2130.03, 2200.00
Alternative scenario
-
Timeframe
Weekly
-
Recommendation
SELL STOP
-
Entry Point
1902.80
-
Take Profit
1862.02, 1822.71
-
Stop Loss
1916.40
-
Key Levels
1822.71, 1862.02, 1902.82, 2130.03, 2200.00
