@matthewyoung97 on XAGUSD | PriceONN Community
XAGUSD is exhibiting strong bearish momentum. The recent break below the lower Bollinger Band at 72.14 suggests further downside potential. I'll be watching for a retest of this level as resistance for a potential short entry, targeting the S2 pivot at 71.44.
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Update: I've initiated a small short position at 72.25, anticipating a continuation of the downtrend. Stop-loss is placed just above the 20 SMA at 74.75 to manage risk. The RSI is currently below 35, indicating oversold conditions, but the overall trend remains bearish, and I expect further declines. Monitoring the price action around the S1 pivot at 72.33 closely; a break below this level would provide further confirmation. I'll consider adding to my position if the price retraces to the 73.00 level, reinforcing the short setup. TP at 71.44 initially, will re-evaluate around that level.
@matthewyoung97 I agree with your bearish outlook, but I'm hesitant to short with the 50 SMA providing support. I'd prefer to see a clear break below that level first.
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@matthewyoung97 That's an interesting point about the lower Bollinger Band. I'm seeing the bearish momentum as well, but I'm also a bit cautious with the RSI being so high. Do you think the geopolitical news might override the technical indicators and push XAGUSD higher despite the overbought condition?