Silver settled for reaching 18.07 yesterday and failed in acquiring the full target at 17.98 and resumed the steep upside move to touch the major resistance level for the ascending channel. Although we still see that silver has potential to continue to the upside, yet the negative reversal on RSI and Stochastic makes us expect the downside correction; this correction might be triggered from 18.35 to 18.55 areas targeting a retest for the classic bullish pattern's neckline which we highlighted earlier.
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.
|Recommendation||Based on the charts and explanations above our opinion is selling silver from 18.40 targeting 18.15 and stop loss above 18.57 might be appropriate|