Main scenario: consider long positions from corrections above the level of 1861.48 with a target of 2016.08 – 2073.73.
Alternative scenario: breakout and consolidation below the level of 1861.48 will allow the pair to continue declining to the levels of 1760.88 – 1718.57.
Analysis: Presumably, the ascending third wave of larger degree (3) formed and a descending correction developed as wave (4) on the daily time frame. H4 time frame: apparently, the fifth wave (5) has started forming, with wave 1 of (5) formed inside. On the H1 time frame, a local correction 2 of (5) is developing as wave 2 of (5), with wave a of 2 forming inside. If the presumption is correct, after correction, the pair will continue to rise to the levels of 2016.08 – 2073.73. The level of 1861.48 is critical in this scenario as its breakout will enable the pair to continue declining to the levels of 1760.88 – 1718.57.
Price chart of XAUUSD in real time mode
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