Midday Report

Silver rushed to the upside affected by the classic bullish pattern referred to yesterday and fully managed to acquire our targets; silver is overbought over four-hour basis according to RSI alongside a negative reversal on Stochastic which increases the likelihood for a downside correction to retest the breached neckline for the classical pattern around 17.98.

The trading range for today is among the key support at 17.35 and key resistance now at 18.84.

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 18.20 targeting 17.98 and stop loss above 18.42 might be appropriate