Weekly Report 28/02 -04/ 03/ 2011
Silver is trading positively; whilst the bearish harmonic AB=CD pattern might take the metal downwards once more. Stochastic is definitely negative and also RSI is close to overbought areas, attempting to form a bearish sign. Therefore, we still see chances for achieving potential downside move during this week. Carefully note that areas between 34.15 and 34.30 should remain intact to keep our scenario valid.
The trading range for this week is among the key support at31.25 and key resistance now at 35.10.
The general trend over short term basis is to thedownsidetargeting 29.40 as far as areas of 35.10 remain intact with weekly closing.
|Recommendation||Based on the charts and explanations above our opinion is, selling silver around 33.60 targeting 31.25 and stop loss with a daily closing above 34.30 might be appropriate.|