Weekly Report 12/12 -16/ 12/ 2011

Sooner or later, stability below the resistance level at 32.95 should trigger another bearish wave, affected by the rising wedge pattern -bearish technical structure- as shown above in red. The general trend is bearish, where the descending channel seen over medium-term basis contains all the trading till now. We expect a downside movement this week, while a daily closing below 31.10 should confirm our outlook and activate the bearishness.

The trading range for this week is among the key support at 29.15 and key resistance now at 35.10.

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
 
Resistance32.1032.9533.5033.7534.00
 
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 33.05 might be appropriate