By Orbex
The current XAUUSD formation suggests that the market has completed the construction of a cycle intervening wave x. It took the form of a primary double zigzag.
After the completion of wave x, the development of the cycle wave z followed. Most likely, wave z will be a primary double zigzag Ⓦ-Ⓧ-Ⓨ, as indicated on the chart.
At the moment, sub-wave Ⓦ of the primary pattern is under construction. This could take the form of an intermediate (A)-(B)-(C) zigzag, where the impulse (A) and correction (B) have ended.
In the near future, a decrease in the impulse wave (C) is likely at the level of 1704.80. This will be at 76.4% of impulse (A).
Free Reports:
Download Our Metatrader 4 Indicators – Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter
Get our Weekly Commitment of Traders Reports - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.
An alternative shows the formation of the intervening wave x of the cycle degree is still ongoing. Most likely, its last leg, which is the actionary wave Ⓨ of the primary degree, is still in the process of construction.
The impulse A and the horizontal correction B in the form of a minute triple zigzag have ended. In the short term, the upward movement is likely to continue in the minor sub-wave C. This could take the form of an impulse or an ending diagonal.
There is a chance that prices could rise to 1953.70. At that level, wave C will be at 123.6% of wave A.
Article by Orbex
Orbex is a fully licensed broker that was established in 2011. Founded with a mission to serve its traders responsibly and provides traders with access to the world’s largest and most liquid financial markets. www.orbex.com
- 3 Signs of Developing U.S. Economic Slowdown Apr 19, 2024
- Israel has retaliated against Iran. Investors run to safe assets Apr 19, 2024
- Gold hits record high amid growing geopolitical tensions Apr 19, 2024
- The US natural gas prices fell to a 2-month low. A drop in the technology sector on Wednesday had a negative impact on the broad market Apr 18, 2024
- Target Thursdays: Cocoa, Bitcoin and USDCHF hit targets! Apr 18, 2024
- British Pound shows signs of recovery amid favourable inflation data Apr 18, 2024
- Indices decline amid hawkish comments from the Fed. Investors are waiting for Israel’s answer Apr 17, 2024
- EURGBP: Slams into support on hot UK inflation Apr 17, 2024
- Brent crude prices dip amid concerns over global demand Apr 17, 2024
- Stock indices sell-off amid rising geopolitical tensions in the Middle East. China’s GDP grew the most in a year Apr 16, 2024