Chart of the day

XAGUSD is being rejected by the 23.50. A break below 22.40 confirms this and could lead to an acceleration lower deeper to 20.50 and that would be a point C of the ABC correction in the 2nd long-term higher.

Only a clear confirmed break above 23.60 will invalidate the downside and lead to an extension higher to 26 again. A confirmed break below the 20.50 level will completely reverse the long-term uptrend. The short-term rising wedge has been broken to the downside and we should use this opportunity to go swing short.

Short-term short trades could be opened here with a stop loss above 23.10 Long trades should be opened only upon a confirmed break above 23.60. I am inclined to see an extension lower to 20.50 for a test of key support.