Silver managed to reverse from $20.05 levels as expected and has hit fresh interim lows at $19.60 levels. The metal is seen to be trading at $19.68 levels for now, looking to continue dropping lower provided prices should stay below $20.05/10 levels. The wave structure still indicates that the recent rally from $18.65 levels has unfolded into 3 waves which are corrective. Hence the metal is expected to drop lower and could also break below $18.40 levels going forward. Please also note that silver has reversed lower from the Fibonacci 0.786 retracement of its earlier swing as depicted here. It is hence recommended to remain short with risk at $20.30 levels. Immediate resistance is seen at $20.10 levels, while support is at $19.50 levels.
Trading recommendations:
Remain short for now, stop at $20.35, target is open.
Good luck!
The material has been provided by InstaForex Company – www.instaforex.com Source: Instaforex.com
Technical outlook and chart setups:
Silver managed to reverse from $20.05 levels as expected and has hit fresh interim lows at $19.60 levels. The metal is seen to be trading at $19.68 levels for now, looking to continue dropping lower provided prices should stay below $20.05/10 levels. The wave structure
still indicates that the recent rally from $18.65 levels has unfolded into 3
waves which are corrective. Hence the metal is expected to drop lower and could
also break below $18.40 levels going forward. Please also note that silver has
reversed lower from the Fibonacci 0.786 retracement of its earlier swing as
depicted here. It is hence recommended to remain short with risk at $20.30
levels. Immediate resistance is seen at $20.10 levels, while support is at $19.50
levels.
Trading recommendations:
Remain short for now, stop at
$20.35, target is open.
Good luck!
The material has been provided by InstaForex Company – www.instaforex.com
Source: Instaforex.com
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