Morning report

As we explained in yesterday's reports, silver succeeded to form a bullish harmonic pattern around 12.60 that forced it to retrace towards 50% Fibonacci of the CD leg at 13.09 but as obviously appearing on the chart, it doesn’t have enough momentum to resume this upward recovery while the temporary mentioned top around pivotal resistance areas at 13.15 protect it and also EMA 50 and TEMA 15 are located around the same areas make us expect a downside action on the intraday basis in particular if a successful breakout occurs below 12.80 zone which will open the way to retest the critical areas around 12.45. Indicators support our bearishness.

The trading range for today is among the key support at 12.25 and key resistance now at 13.65.

The general trend is to the upside as far as 12.00 remains intact with targets at 16.50.












Support12.8012.7212.5512.3512.25
Resistance13.00 13.15 13.25 13.40 13.65

Recommendation

According to our analysis, we believe that it is good sell silver at 12.90 with targets at 12.40 and stop loss at 13.30.