Silver couldn't maintain levels below 28.15-28.05 as we discussed in the weekly report. Not only that but it stabilized above 28.05 and that was the main reason for the upside movements. Note that the bearishness from 30.69 to 27.96 couldn't touch the previous recorded top at 27.92 as seen on the provided chart. There are four technical factors that make us expect that the fifth wave is in progress inside an IM structure and that is clear on the chart too. Henceforth, potential upside move could be seen before returning to the bearishness, which will be always in favor as far as we didn't witness a weekly closing above 29.80.
The trading range for today is among the key support at27.40 and key resistance now at 31.00.
The general trend over the short term basis is to the downside targeting $ 22.95 per ounce as far as areas of 29.80 remain intact.
|Recommendation||Based on the charts and explanations above our opinion is, buying silver around 29.55 targeting 31.00 and stop loss with a four hour closing below 28.85 might be appropriate.|