Silver is trading around the previous broken support line once more- the harmonic support-. Stochastic is presently entering the overbought zones. Therefore, we still believe that the bearish harmonic butterfly pattern is still affecting the metal negatively. As far as B point around 29.85 remains intact the bearishness will be in favor and it will be confirmed with a four hour closing below 28.75.
The trading range for today is among the key support at 27.80 and key resistance now at 30.60.
The general trend over short term basis is to thedownside targeting 23.60 as far as areas of 30.80 remain intact with weekly closing.
|Recommendation||Based on the charts and explanations above our opinion is, selling silver around 29.20 targeting 27.80 and stop loss with a four hour closing above 29.85 might be appropriate.|