XAU/USD: Wave analysis and forecast for 04/01/2019 – 11/01/2019

The pair XAU/USD is likely to decline. Estimated pivot point is at a level of 1367.75

Main scenario: short positions will be relevant from corrections below the level of 1367.75 with a target of 1159.50 – 1097.76

Alternative scenario: Breakout and consolidation above the level of 1367.75 will allow the pair to continue rising to the level of 1400.00 and higher.

Analysis: On the daily time frame, supposedly the wave (C) of senior level is developing, with the wave 1 of (C) formed inside. Apparently, an upward correction as the wave 2 of (C) is about to finish forming on the H4 time frame. Supposedly, the fifth wave of junior level v of (v) of с of 2 is finishing on the 1H time frame. If the presumption is correct, the pair should soon start declining to the levels of 1159.50 – 1097.76. The level 1367.75 is critical in this scenario.