Morning report

Silver is presently forming the [B] wave of our captured Elliott cycle over the short term basis.It's targeting17.45 areas, where it can move downwards forming [C] wave. Note that, activation of this scenario may build a potential head and shoulders top pattern. To recap, we still keep the intraday overview to the downside. A break of 17.15 will accelerate this suggested bearishness.

The trading range for today is among the key support at 16.35 and key resistance now at 18.60.

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, selling silver from 17.45 targeting 16.80 and stop loss above 17.95 might be appropriate.