Silver Lining Up For Dull Move | $XAG $USD $SILV #silver $XAU
Traders,
ELLIOTT WAVE COUNT:
A L/T look at $XAG suggest a protracted bearish correction in the shape of an Elliott Wave Leading Diagonal, based on:
1 - A deep correction from a 49.780 high reached on April 25th, 2011.
and
2 - Internal alternations of 5-3-5-3-5 waves, identifying the overall pattern as an EW's Leading Diagonal.
PREDICTIVE/FORECASTING MODEL;
Apart for the wave count, the predictive/forecasting model eyes the following target:
- TG-Lo = 9.655 - 20 OCT 2014
OVERALL:
While the scale of the chart might appear difficult to trade to retail traders, the emphasis here is put on a bearish bias that is not simply based on a sustained bearish trend born in 2011, but also on the wave count expectation of a termination at Point-5 and a separate predictive/forecasting model that defines a bearish target at 9.655.
A limited upside exists in the near interim, as price could attempt a shallow rally to 18.191, corresponding to a significant line-up of a then-triple support, turned now-resistance. This interim rally might occur following the recent sustained downtrend that developed since Point-4.
Look for a correlating action in the RSI to confirm these alternative moves between resistance and support in price.
Cheers,
David Alcindor
Predictive Analysis & Forecasting
Denver, Colorado - USA
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Twitter: @4xForecaster
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ELLIOTT WAVE COUNT:
A L/T look at $XAG suggest a protracted bearish correction in the shape of an Elliott Wave Leading Diagonal, based on:
1 - A deep correction from a 49.780 high reached on April 25th, 2011.
and
2 - Internal alternations of 5-3-5-3-5 waves, identifying the overall pattern as an EW's Leading Diagonal.
PREDICTIVE/FORECASTING MODEL;
Apart for the wave count, the predictive/forecasting model eyes the following target:
- TG-Lo = 9.655 - 20 OCT 2014
OVERALL:
While the scale of the chart might appear difficult to trade to retail traders, the emphasis here is put on a bearish bias that is not simply based on a sustained bearish trend born in 2011, but also on the wave count expectation of a termination at Point-5 and a separate predictive/forecasting model that defines a bearish target at 9.655.
A limited upside exists in the near interim, as price could attempt a shallow rally to 18.191, corresponding to a significant line-up of a then-triple support, turned now-resistance. This interim rally might occur following the recent sustained downtrend that developed since Point-4.
Look for a correlating action in the RSI to confirm these alternative moves between resistance and support in price.
Cheers,
David Alcindor
Predictive Analysis & Forecasting
Denver, Colorado - USA
----------
Twitter: @4xForecaster
----------
