@mia86 on XAGUSD | PriceONN Community
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This sharp drop has formed a bearish engulfing candle on the hourly chart, right at the 20 SMA. That's a pretty classic signal that the momentum might be shifting further down. If we don't see a strong recovery push back above 70.00 soon, I'd expect this pattern to play out and we could see prices testing that S1 pivot around 66.97.
Replies
Hey @mia86, I get what you're saying about the bearish engulfing on the hourly, that's textbook stuff. But honestly, I'm not reading too much into that signal right now. The bigger picture for me is that we're still in a massive uptrend overall, and Friday's drop just looks like a liquidity grab to me. If we hold that 69 support level, or even dip a bit lower into that FVG area, I'll be looking to go long again. That 20 SMA is just a moving target, not always a hard wall. Let's see what the weekend news brings, but I'm ready to load up if it dips.