Silver preparing for breakdown again. 21.50 should form bottom
May 14, 2013 1:00 pm
Technical outlook and chart setups:
The single currency pair has bounced off from the 0.618 Fibonacci support at 24.00 level, after creating lows at 22.00, as seen here on the weekly chart view. But Fibonacci extensions of the down swing is pointing towards 21.50 level before a meaningful bounce can materialize. Furthermore, 20.00 level can be viewed as past resistance turned future support now hence a high probability for a bottom formation there. It is hence recommended to remain short on positions taken earlier, targeting minimum levels around 21.45.
Trading recommendations:
Remain short, stop is at 25.00, and target is at 21.50.
Good luck!
The material has been provided by InstaForex Company – www.instaforex.com
Technical outlook and chart setups:
The single currency pair has bounced off from the 0.618 Fibonacci support at 24.00 level, after creating lows at 22.00, as seen here on the weekly chart view. But Fibonacci extensions of the down swing is pointing towards 21.50 level before a meaningful bounce can materialize. Furthermore, 20.00 level can be viewed as past resistance turned future support now hence a high probability for a bottom formation there. It is hence recommended to remain short on positions taken earlier, targeting minimum levels around 21.45.
Trading recommendations:
Remain short, stop is at 25.00, and target is at 21.50.
Good luck!
The material has been provided by InstaForex Company – www.instaforex.com
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