Silver Technical Precious Metals (2011-01-21)

By @ibtimes on

Morning Report

The negativity that silver is trading in is expected to prevail, where we can see above that the metal is currently trading below the extended target for the bearish Butterfly Pattern shown on the right; silver is trading below 127.2% of CD leg and also below 161.8% correction of BC of the AB=CD pattern shown to the left. The PRZ ahead is among 26.90 and 26.25 where we need to observe silver closely, where the metal might test 26.00 areas or rebound to the upside in an intraday bullish move before resuming the general downside move.

The trading range for today is among the key support at 26.00 and the key resistance at 29.75.

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.Support27.2527.1526.9026.5226.00Resistance27.4527.5527.9028.0528.15RecommendationBased on the charts and explanations above, our opinion is selling silver around 27.45 targeting 26.50 and stop loss with four-hour closing above 28.15 might be appropriate

Join the Discussion