Technical outlook and chart setups:
Silver seems to have formed
intermediary lows at $18.40 level today (during early hours) and is seen to be
trading at $18.45 level at this moment. Looking at the wave structure, there
is no change and the metal still looks constructive for bulls to stage a rally
from here. Please note that the metal has terminated a regular flat (a-b-c) as
wave 4 consolidation. Furthermore, it still remains supported at fibonacci 0.50
level of the entire rally between $15.70 and $21.13 levels respectively. If
this count holds true, the metal should resume its last leg rally (wave 5)
towards $20.80/21.00 levels going forward. The metal is expected to remain in
control of bulls, till prices stay above $18.25 level. It is hence recommended
to remain long now, with stop below $18.25 level. Immediate resistance is seen
at $19.20 level, while support is at $18.25 level respectively.
Remain long for now, stop is below
$18.25, targets are $20.80 and above $21.13.
The material has been provided by InstaForex Company – www.instaforex.com