🔮 Better than the Oracle? Our Fair Value found this +42% bagger 5 months before Buffett bought itRead More

Silver: Recovery Rally Or Turnaround?

Published 12/08/2016, 02:47 PM
Updated 07/09/2023, 06:32 AM

This is the daily chart of silver showing some hope for bulls


Here is what i expected on 2nd of December.

So far it has managed to overcome the congestion zone only, still the job is half done for bulls. Technically silver is looking good from the risk reward ratio perspective. I am with bulls for 17.55 followed by 17.80 and more, but there is something for bears also. What if it fails to hold the support zone, we should also be ready for the worst case also.

Silver Daily Chart

Look at this daily chart and you will get that why everyone is looking for this 15.80$ support area, actually it might prove to be an imaginary neckline for possible H&S pattern if it becomes the reality. If it happens and silver really breaks 15.80 then the targets of this pattern will be 13.30 at least (just below the bottom area) and if this area fails to hold then following figures are 12.70 / 11.80 and finally 10.80$

So trade cautiously and with strict stops below 15.80. Being in a bull camp, I would like to see the failure of this pattern but this will be decided by the market as there is no place for hopes here.

Now if this pattern fails then we will see 26$ definitely within few weeks.

Silver Daily Chart II

Resistance: 17.55/17.80/18.2
Support: 16.8/16.30/15.80

Latest comments

Loading next article…
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.