Growth is possible.

On the weekly chart, the fifth wave of the higher level 5 develops, within which the wave (5) of 5 forms. On the daily chart, the third wave of the lower level 3 of (5) is developing, within which the wave v of 3 is forming. If the assumption is correct, the XAU/USD pair will grow to the area of 2900.00–3100.00. In this scenario, critical stop loss level is 2600.80.

Main scenario

Long positions will become relevant above the level of 2600.80 with the targets at 2900.00–3100.00. Implementation period: 7 days or more.

Alternative scenario

A breakout and the consolidation of the price below the level of 2600.80 will let the asset go down to the area of 2282.25–1997.50.