The article covers the following subjects:
Major Takeaways
- Main scenario: Consider long positions from corrections above the level of 2576.36 with a target of 2880.00 – 2976.66. A buy signal: the price holds above 2576.36. Stop Loss: below 2570.00, Take Profit: 2880.00 – 2976.66.
- Alternative scenario: Breakout and consolidation below the level of 2576.36 will allow the pair to continue declining to the levels of 2464.30 – 2282.23. A sell signal: the level of 2576.36 is broken to the downside. Stop Loss: above 2585, Take Profit: 2464.30 – 2282.23.
Main Scenario
Consider long positions from corrections above the level of 2576.36 with a target of 2880.00 – 2976.66.
Alternative Scenario
Breakout and consolidation below the level of 2576.36 will allow the pair to continue declining to the levels of 2464.30 – 2282.23.
Analysis
The ascending fifth wave of larger degree 5 is presumably developing on the weekly chart, with wave (5) of 5 forming as its part. The third wave of smaller degree 3 of (5) appears to continue forming on the daily chart, with wave iii of 3 developing inside. Wave (v) of iii is developing on the H4 time frame. If this assumption is correct, the XAU/USD pair will continue to rise to 2880.00 – 2976.66. The level of 2576.36 is critical in this scenario as a breakout will enable the pair to continue declining to the levels of 2464.30 – 2282.23.
This forecast is based on the Elliott Wave Theory. When developing trading strategies, it is essential to consider fundamental factors, as the market situation can change at any time.
Price chart of XAUUSD in real time mode
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