XAGUSD: reversal from resistance

kelmarin

🛠 Technical Analysis: On the 4-hour timeframe, silver (XAGUSD) rebounded from the important resistance level of 59.00, signaling a potential bearish reversal. Currently, the price is likely to test the nearest support at 56.30, a confirmed break of which would provide a potential sell entry. The trading setup suggests a correction toward the demand zone at 54.00, which coincides with the support area marked on the chart.

❗️ Trade Parameters (SELL)❗️

➡️ Entry Point: Sell on breakdown of support (approx. 56.30)

🎯 Take Profit: 53.90 – 54.00 (Support Zone)

🔴 Stop Loss: Above local resistance structure (approx. 57.85)

⚠️ Disclaimer: This is a potential trade idea based on current analysis; market conditions and price direction are subject to change based on news factors and volatility.

kelmarin

Nota

🌍 Fundamental Analysis: Silver is retreating from its recent record highs as investors engage in profit-taking and the US Dollar strengthens ahead of critical economic releases. While markets are still pricing in a potential Federal Reserve rate cut for December, the immediate overbought conditions and pre-meeting caution are weighing on non-yielding assets. The current pullback reflects a temporary shift in sentiment as traders await clarity on inflation data to confirm the central bank's next move.