Silver moved sharply to the downside yesterday breaching 12.50- cluster support zone-influenced negatively by the bearish harmonic pattern which we discussed before offering the possibility of the CD leg extended targets around (12.05-11.90) zones as extreme targets for the mentioned pattern. Hence we will use these pivotal supports which always push the price upward to say cautiously that a correctional wave is in favor as far as 11.85 remains intact on the intraday basis while our outlook is supported by the oversold signals appearing on indicators as shown on the above chart.

The trading range for today is among the key support at 11.45 and key resistance now at 13.25.

The general trend is to the upside as far as 10.95 remains intact with targets at 16.50.












Support12.0211.8511.7311.6711.45
Resistance12.25 12.35 12.50 12.63 12.74

Recommendation

According to our analysis, buy silver at 12.15 with targets at 12.75 and stop loss at 11.65.