The precious metal started a downtrend in May; it showed some signs of recovery in late August but cannot hold on to those gains. The price broke a support level at the 23.6% Fibonacci retracement of $23.89 and continues the downward trend.
The Bollinger bands are wide enough to expect high volatility; the price is stable in between the bands, indicating price consolidation. The relative strength index is at 44%, giving the pair enough room to continue falling in the short to mid-term.
Our parabolic SAR indicator suggests that the downtrend will continue, the short and long-term moving averages continue moving down. However, the gap between the lines closed up with the recently failed signs of recovery.
The price trades under the downwards Ichimoku cloud, strengthening the signals for a downtrend.
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