7 - Crash Sequence & Brexit Volatility vs Wave Patterns
Silver (XAG/USD) price action has been continuously dropping after the second part 2018. The sell-off which got interrupted by a bullish reaction in September 2018 has been labeled as Intermediate (A) (blue).
Intermediate (B) (blue) corrective sequence has been labeled in an Expanding Flat pattern, within a Double Three sequence.
The sustained bullish impulse seems to be aspiring towards the completion on Intermediate (C) (blue), in which case XAG/USD could consolidate and retest the 15.35 levels before another rally.
Silver’s 15.35 levels could be in focus during the next few trading sessions, as a support could provide more up-side for this precious metal. However, if a breach would occur, then Silver could dive into a bearish sentiment once more.
The preferred scenario would be a bullish continuation before any major change, in which case the 16.25 levels could reflect the 61.8% Fibonacci Retracement of the previous bearish sequence. These levels could also lineup with the Vibration Zone displayed on the Daily chart.
If the bullish sequence would continue, then XAG/USD could face a rejection at or around the 16.25 / 16.80 levels. Such reversal could push Silver towards new yearly lows, which could be revealed as the 13.80 / 13.20 significant supports.
Intermediate (B) (blue) corrective sequence has been labeled in an Expanding Flat pattern, within a Double Three sequence.
The sustained bullish impulse seems to be aspiring towards the completion on Intermediate (C) (blue), in which case XAG/USD could consolidate and retest the 15.35 levels before another rally.
Silver’s 15.35 levels could be in focus during the next few trading sessions, as a support could provide more up-side for this precious metal. However, if a breach would occur, then Silver could dive into a bearish sentiment once more.
The preferred scenario would be a bullish continuation before any major change, in which case the 16.25 levels could reflect the 61.8% Fibonacci Retracement of the previous bearish sequence. These levels could also lineup with the Vibration Zone displayed on the Daily chart.
If the bullish sequence would continue, then XAG/USD could face a rejection at or around the 16.25 / 16.80 levels. Such reversal could push Silver towards new yearly lows, which could be revealed as the 13.80 / 13.20 significant supports.
