Hello Traders,
Here is the Top-Down Analysis of SILVER - XAGUSD (Monthly, Weekly, Daily for direction and 4H for entry) for
Week 45 - Nov 02
M > Price moved bullish breaking several structure levels to stop at monthly support now turned resistance and moved down for correction. After a huge impulse we expect price to retrace till 0.382 or 0.5 Fib levels on last impulse. Both levels coincide with monthly resistance which will now act as support.
W > Price dropped in between 0.382 and 0.5 level with weekly candle closing at 0.382 level, this level coincides with daily demand zone. We can see an M formation and expect price to move upwards to test neck and complete formation. In its upward move price pulled up till 0.618 Fib level on bearish impulse and then dropped just short of 0.786 Fib level on weekly bullish impulse.
D > Just like Gold, price has been dropping in consolidation zone of symmetrical triangle (1st drop during Aug-Sept period and 2nd drop now). Price has broken to the downside of 2nd triangle but not pulled back like Gold but it has faced rejection at demand zone. It is respecting downward resistance trend-line. We can see another M formation and price can rise up to test its neck, neck will also coincide with support of triangle, now acting as resistance. However for bullish move beyond this price has 3 barrier to cross, daily supply zone (where price is currently), downward resistance trend-line and daily resistance.
Hence in relation with Gold, Silver can continue to drop till 0.5 Fib level.
As per COT SILVER saw closure of both Long and Short, with net positions staying in improved state. We have seen silver reduce Short position from 47K in month of July to 32K now. Silver enhanced its position during the said week but weakened last week.
4H > We can see that price created an inverted H & S and pulled up breaking its neck. Price is currently testing support level as resistance.
Pair Correlation > Silver has positive correlation with Gold and AUDUSD.
Thank You
AP17FX
Here is the Top-Down Analysis of SILVER - XAGUSD (Monthly, Weekly, Daily for direction and 4H for entry) for
Week 45 - Nov 02
M > Price moved bullish breaking several structure levels to stop at monthly support now turned resistance and moved down for correction. After a huge impulse we expect price to retrace till 0.382 or 0.5 Fib levels on last impulse. Both levels coincide with monthly resistance which will now act as support.
W > Price dropped in between 0.382 and 0.5 level with weekly candle closing at 0.382 level, this level coincides with daily demand zone. We can see an M formation and expect price to move upwards to test neck and complete formation. In its upward move price pulled up till 0.618 Fib level on bearish impulse and then dropped just short of 0.786 Fib level on weekly bullish impulse.
D > Just like Gold, price has been dropping in consolidation zone of symmetrical triangle (1st drop during Aug-Sept period and 2nd drop now). Price has broken to the downside of 2nd triangle but not pulled back like Gold but it has faced rejection at demand zone. It is respecting downward resistance trend-line. We can see another M formation and price can rise up to test its neck, neck will also coincide with support of triangle, now acting as resistance. However for bullish move beyond this price has 3 barrier to cross, daily supply zone (where price is currently), downward resistance trend-line and daily resistance.
Hence in relation with Gold, Silver can continue to drop till 0.5 Fib level.
As per COT SILVER saw closure of both Long and Short, with net positions staying in improved state. We have seen silver reduce Short position from 47K in month of July to 32K now. Silver enhanced its position during the said week but weakened last week.
4H > We can see that price created an inverted H & S and pulled up breaking its neck. Price is currently testing support level as resistance.
Pair Correlation > Silver has positive correlation with Gold and AUDUSD.
Thank You
AP17FX