Silver Technical Update
The 4H Silver chart shows a range-bound market. Resistance can be seen at (R1: 33.05, and R2: 33.25). Support can been see at (S1: 31.15, S2: 30.97). Within this range, we do have a couple of directional clues.
At the moment, the order is 200, 100, 21, 55, 8, which shows mostly bearish bias, although some choppiness at the moment against that bias.
Another bearish clue is that the latest rally failed to attack the range resistance and fell from near the middle of the range. This suggests the bears are starting to take control within the context of consolidation.
The daily chart shows that this support around 31.00 is more of less the central pivot of a larger range between 35.70 and 26.10 (although the latest rally pushed to 37.50 to establish a higher resistance than 35.70).A break below the 31.00 can open up the next pivot at 28.34 and then the 26.10 range low. The break below 31 should be accompanied by the 4H RSI dipping below 30, and the daily RSI finally breaking below 40 after hovering above throughout March and so far in April.
Fan Yang CMT is a trader, analyst, educator and the Chief Technical Strategist FXTimes - provider of Forex News, Analysis, Education, Videos, Charts, and other trading resources.
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