Morning report

Silver followed gold as usual, reaching the technical areas of 16.15 which represent 161.8% Fibonacci level of XA leg for the harmonic bearish pattern. We notice that the mentioned point is a cluster resistance as it met the full correction level of Fibonacci. Hence a downside movement is highly anticipated over the intraday basis, supported by the negative signs appearing on the indicators.

The trading range for today is among the key support at 14.75 and key resistance now at 16.85.

The general trend is to the upside as far as 10.95 remains intact with targets at 16.85.

RecommendationBased on the charts and explanations above our opinion is, selling silver from 16.15 targeting 15.55 and stop loss above 16.65 might be appropriate.