Morning Report

Silver declined sharply as expected and as we believed areas of 41.20 was very strong and caused a downside correction indeed. Currently, the metal is fluctuating heavily, but we still expect further downside movement to retest mainly 37.05. The 37.95 level acts as a minor support, but consolidation below 40.40 supports our expectation; while a breach of 41.20 will negate our expectations.

The trading range for today is among the key support at 37.05 and key resistance now at 41.20.

The short-term trend is to the downside targeting 26.65 as far as areas of 48.50 remain intact with weekly closing.

Previous Report

Weekly Report

Support39.1038.9038.2537.9537.45
Resistance39.7540.2040.4040.9041.20
RecommendationBased on the charts and explanations above our opinion is selling silver around 39.75 and take profit in stages at 37.95, 38.90, and stop loss with 4-hour closing above 40.40 might be appropriate