@redfern on XAGUSD | PriceONN Community
Hey @shadowfax408, I know what you mean about it feeling slow, but this sideways action could be setting up for a nasty bear trap. We're seeing RSI dip below 35, which usually signals oversold, but the price is still grinding lower. The SMAs are pointing down pretty hard too, especially the 20-day crossing below the 50-day. It feels like too much weakness for a simple pause; I'm worried it's designed to shake out early longs before a further drop.
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And to add to that point about the 200-day SMA, it's really the key level here for me. If we can't break back above the 50-day SMA soon, which is sitting at 73.46, then that historical pattern I mentioned could play out exactly as it did before. The current price action, hovering in the low 71s, feels like that precarious moment before the big breakdown. It's also worth noting that the recent news about Iran and the Strait of Hormuz, while complex, often adds to broader market uncertainty which tends to favor the dollar and put pressure on commodities like silver. I'm keeping a very close eye on the 71.11 S2 pivot; if that gives way, I expect a rapid move towards the 70 mark, and then we're really in uncharted territory for this consolidation phase.