Silver Technical Precious Metals (2011-01-25)

By @ibtimes on

Morning Report

The price is approaching the previous suggested technical objective of 26.52, which represent the PRZ as momentum indicators show clear oversold signs. We need to make sure that silver will breach this level as the pattern itself is a bullish harmonic AB=CD and it may be completed there. At the same time, a break of 26.50 will send it towards the extended technical targets of the butterfly pattern at 161.8% of CD leg. Thereby, our outlook will be neutral until we get a clearer sign to pinpoint the upcoming direction.

The trading range for today is among the key support at 25.35 and key resistance now at 28.05.

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.

Previous Report

Weekly ReportSupport26.5226.4026.0025.8025.35Resistance27.1527.2527.4527.5527.90RecommendationBased on the charts and explanations above our opinion is, staying aside until a clearer sign appears to pinpoint the upcoming big move.

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