The XAUUSD formation hints at a global correction pattern that takes the form of a cycle triple zigzag.
The current chart shows the internal structure of the bearish cycle intervening wave x, which looks completed in the form of a primary triple zigzag â-â-â-â-â.
Perhaps, after the completion of the cycle wave x, the market turned around and began to move up. That is, the construction of the initial part of the cycle wave z could begin. It can be any correctional model.
The price of gold in wave z may rise to the previous high of 1998.53, which was marked by the primary wave â, or even higher.
Alternatively, we can expect the continuation of the downward price movement in the cycle wave x. Wave x is also a triple zigzag â-â-â-â-â, as in the main version.
However, in this scenario, the final primary wave â is still under development. In the near future, a downward movement of XAUUSD is expected in the intermediate impulse wave (C), which is part of the zigzag wave â.
The primary wave â can complete its zigzag pattern (A)-(B)-(C) near 1617.96. At that level, it will be at 123.6% of primary wave â.