The precious metal lost more than 6% in the previous two trading sessions, temporarily breaking the support level on our 50% Fibonacci retracement, but the pair came back in yesterday’s sessions and now is attempting to break the resistance on the 38.2% retracement at $24.84.
The Bollinger bands are starting to open up, which will likely increase volatility in the upcoming trading sessions, the pair trades closer to the lower band, but is not yet considered relatively low, the metal could complete the breakout on the resistance and continue the uptrend in the short to medium-term.
The relative strength index is at 48% which will allow Silver to resume the uptrend after retracing more than 50%, the price is being pushed downwards by the pressure of sellers, but buyers seem to be winning the battle for now. If the price manages to break the resistance we would expect the price to reach the $25 price level very soon.
We love to hear new ideas from traders and want to know what you think!
If you like this topic and want to suggest future topics that you find helpful, let us know by clicking the ‘submit your feedback’ button below.
Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite.
Nothing contained in this website should be construed as investment advice. Any reference to an investment's past or potential performance is not, and should not be construed as, a recommendation or as a guarantee of any specific outcome or profit.