Morning report

Silver has declined, respecting our Friday's analysis as seen on the provided daily chart. Having a look at the Elliott count of the wave that started at 18.05 zones, we'll see that 3 waves have been formed already and the corrective upside wave is under way for the time being, targeting 16.85 zones, where the fifth should start to the downside. Note that, the allover harmonic structure AB=CD is bearish. Hence the intraday basis is to the upside but the short and medium terms are to the downside.

The trading range for today is among the key support at 15.70 and key resistance now at 17.90.

The general trend is to the upside as far as 12.45 remains intact with targets at 19.40.

RecommendationBased on the charts and explanations above our opinion is, buying silver from 16.35 targeting 16.85 and stop loss below 15.95 might be appropriate.