The chart shows another upward momentum. However, there are signs of a bearish wave that may occur after its completion.
A Wolfe Wave pattern has been discovered, which consists of six five-wave components, where the first and third ones create an ascending resistance line. The XAGUSD price is in the “Sweet Zone”, which is indicated in red on the chart. Completion of the pattern results in formation of the sixth downward wave, the target of which extends the line connecting the tops of waves 1 and 4.
Short positions should be prioritized to trade XAGUSD. A trader can enter using the current price levels or, alternatively, it can be done after a retest of the resistance level.
📌 Entry: 47.303
✔️ First goal: 46.810
❌ Stop order: 47.573
