Main scenario: consider short positions from corrections below the level of 1900.15 with a target of 1718.57 – 1606.95.
Alternative scenario: breakout and consolidation above the level of 1900.15 will allow the pair to continue rising to the levels of 1965.30 – 2014.94.
Analysis: Daily time frame: presumably, the ascending third wave of larger degree (3) formed, and a descending correction is now developing as wave (4). A wave of smaller degree А of (4) appears to have formed on the H4 time frame, and a local correction finished developing as wave В of (4). H1 time frame: wave C of (4) is forming, with local correction completed as wave ii of С and wave iii of C forming inside. If the assumption is correct, the pair will continue falling to the levels of 1718.57 – 1606.95. The level of 1900.15 is critical in this scenario, as the breakout will enable the pair to continue rising to the levels of 1965.30 – 2014.94.
XAUUSD current rate in the Forex market:
XAUUSD = 1 786.25
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Price chart of XAUUSD in real time mode
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