The fluctuated actions occurred yesterday have forced us to review the bigger picture of the metal. Silver has been trapped within a tight range between 15.59 and 16.53 during this week but it is clear that, all these volatile movements should be seen as re-testing action for the broken uptrend line of the ascending channel, seen on the weekly chart. Thus; the bearish classical overview of the suggested double top formation is still in favor and consequently, potential bearishness could be seen over intraday and short term basis.
The trading range for today is among the key support at 15.25 and key resistance now at 16.85.
The general trend is to the upside as far as 12.45 remains intact with targets at 20.15.
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|Recommendation||Based on the charts and explanations above our opinion is, selling silver from 16.25 targeting 15.75 and stop loss above 16.60 might be appropriate.|