XAGUSD Short-Term Analysis (4-hour chart) - 18/11/2024

Disclaimer: This analysis is for educational purposes only and represents my personal opinion. Consult your financial advisor before making any decisions.

Market Analysis:
The XAGUSD pair has retested the key support level at 30.12 and bounced, but lacks impulsive momentum. The 4-hour price action indicates a bearish trend, confined within an ascending trend channel, with no notable increase in volume. A close below immediate support levels raises concerns about the short-term bullish outlook. However, RSI is showing both bullish divergence and bearish divergence.

Key Levels:

• POC (Daily Point of Control): 31.29
  
• Resistance (OBV): 31.29 - 32.00
  
• Resistance: 31.29
  
• Immediate Support: 30.18
  
• Local Low: 29.67
  

Trading Bias:
Bearish: With the daily Point of Control at 31.29 and OBV resistance at 31.84-32.13, we anticipate a potential rejection upon retesting.

Scenario 1: Rejection at Resistance

• Price rejection at 31.29 could lead to a decline towards 30.18 and potentially 29.67.
  

Scenario 2: Breakdown Below Local Low

• A break below 29.67 could trigger a downward move towards 28.70 (daily Point of Control), filling the gap.
  

Caution:
A sustained move above 32.13 would invalidate our bearish bias and potentially signal a trend reversal.

https://www.tradingview.com/x/jYlADuZx/