Hello fellow traders. In this technical article we’re going to take a look at the Elliott Wave charts charts of Silver (XAGUSD) published in members area of the website. As our members know Silver has recently made pull back that has unfolded as Elliott Wave Double Three Pattern. It made clear 7 swings from the May 4th peak and completed correction right at the Equal Legs zone ( Blue Box Area) . In further text we’re going to explain the Elliott Wave pattern and forecast
Before we take a look at the real market example, let’s explain Elliott Wave Double Three pattern.
Elliott Wave Double Three Pattern
Double three is the common pattern in the market , also known as 7 swing structure. It’s a reliable pattern which is giving us good trading entries with clearly defined invalidation levels.
The picture below presents what Elliott Wave Double Three pattern looks like. It has (W),(X),(Y) labeling and 3,3,3 inner structure, which means all of these 3 legs are corrective sequences. Each (W) and (Y) are made of 3 swings , they’re having A,B,C structure in lower degree, or alternatively they can have W,X,Y labeling.
Silver XAGUSD Elliott Wave Daily Chart 09.30.2023
Silver is doing correction that is unfolding as a 7 swings pattern. Pull back has (W)(X)(Y) blue labeling. First leg (W) is having Zig Zag Structure – 3 waves ABC red, while (Y) leg is WXY Double Three Pattern. The structure is still incomplete at the moment. We expect to see another leg down toward extreme area: 21.27-18.8 blue box ( buying zone). Once Silver reaches proposed extreme zone, we expect the commodity to make a rally toward new highs or in 3 waves bounce alternatively. We don’t like selling and preferring the long side from the Blue Box Area. Once the price reaches 50 fibs against the (X) blue high, we will make long positions risk free (put SL at BE) and take the partial profits.
You can learn more about Elliott Wave Double Three Patterns at our Free Elliott Wave Educational Web Page.
Silver XAGUSD Elliott Wave Daily Chart 10.28.2023
Silver found buyers at the Blue Box Area as expected. The commodity made nice rally from the Buying Zone and made 5 waves up from the 20.66 low. Bounce already reached 50 fibs against the (X) blue connector which confirms cycle from the peak is done for sure. Consequently, any long positions from the equal legs area should be risk free by now. As far as the price stays above 20.66 low, we can see further strength in the commodity.
Keep in mind not every chart is trading recommendation. You can check most recent charts and new trading setups in the membership area of the site. Best instruments to trade are those having incomplete bullish or bearish swings sequences. We put them in Sequence Report and best among them are shown in the Live Trading Room.
Source: https://elliottwave-forecast.com/elliottwave/silver-xagusd-found-buyers-elliott-wave/