Weekly Report 28/11 -02/ 12/ 2011

Silver rebounded to the upside with the start of this week, but as shown above on the chart, we find the metal is still stable below the simple moving average 50 and also below 38.2% Fibonacci correction at 32.95. The current upside move is only a correction for the metal to gain more negative momentum and then enter another bearish wave. Our expectations remain valid as long as the metal is stable below 38.2% Fibonacci correction.

The trading range for this week is among the key support at 29.15 and key resistance now at 34.00.

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

**New York Candlesticks**

Previous Report

 
Support31.4531.2530.7530.3029.80
 
Resistance32.1032.9533.4033.7534.00
 
RecommendationBased on the charts and explanations above, our opinion is selling silver around 32.10, and take profit in stages at (30.75 and 29.80) and stop loss with 4-hour closing above 33.40 might be appropriate