Silver is seen to be trading at $20.36 levels, a bit lower than yesterday. The metal could be looking to form a base around $19.70/80 levels before rallying further. The wave structure indicates that the metal is probably in its final leg (rally) before turning lower. The final push could print fresh highs around $21.50 levels, before the metal reverses for a meaningful retracement lower. Also note that after $19.20/25 lows formed last week, the price has found support off the fibonacci 0.382 levels as depicted here, and bulls are expected to remain in control at least in the short term. It is hence recommended to exit short positions now and look to initiate long positions at $19.70/80 levels with risk at $19.00 levels. Immediate support is seen at $19.20 levels while resistance is seen at $21.50 levels respectively.
Trading recommendations:
Exit short positions now at $20.30/33. Look to go long at $19.70/80, stop at $19.00, target $21.00.
Good luck!
The material has been provided by InstaForex Company – www.instaforex.com Source: Instaforex.com
Technical outlook and chart setups:
Silver is seen to be trading at $20.36
levels, a bit lower than yesterday. The metal could be looking to form a base
around $19.70/80 levels before rallying further. The wave structure indicates
that the metal is probably in its final leg (rally) before turning lower. The
final push could print fresh highs around $21.50 levels, before the metal
reverses for a meaningful retracement lower. Also note that after $19.20/25 lows
formed last week, the price has found support off the fibonacci 0.382 levels as depicted
here, and bulls are expected to remain in control at least in the short term. It is
hence recommended to exit short positions now and look to initiate long
positions at $19.70/80 levels with risk at $19.00 levels. Immediate support is
seen at $19.20 levels while resistance is seen at $21.50 levels respectively.
Trading recommendations:
Exit short positions now at $20.30/33. Look to go long at $19.70/80, stop at $19.00, target $21.00.
Good luck!
The material has been provided by InstaForex Company – www.instaforex.com
Source: Instaforex.com
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