The precious metal has not been able to break through the resistance level in our 23.6% Fibonacci retracement; for the last three trading sessions, the pair has made breakout attempts but has not completed it.
The price has been on an uptrend for the last three sessions, where it gained 3.36%; the technical conditions are there for silver to complete the breakout, which can happen in the short term.
The Bollinger bands are wide, but they are closing up at the edge; however, we can still expect high volatility in the upcoming sessions, the price trades in between the bands suggesting that it is at a fair level.
The relative strength index is at 42%, which will allow the price to continue its upward trend in the short term. Our parabolic SAR suggests a downtrend; however, this is a lagging indicator, and we expect this signal to change in the short term.
If the price can complete the breakout on the $23.891 level, we would expect the pair to continue moving upwards to the $24.5 levels in the following sessions.
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.
