The precious metal is up 3.6% in the session and managed to break three Fibonacci retracements after the hit it took on Monday’s session. The pair trades close to the short-term moving average, suggesting that an uptrend is possible at this stage if the price continues moving upwards just a bit more.
The Bollinger bands are closing again which suggests that the consolidation period might not be over yet, the pair traded below the lower band, indicating that the price was at a relatively low level, which incentivized traders to start opening long positions on the pair. The price is recovering the ground it lost earlier this week, but that might not be enough for Silver to continue the upwards trend.
The relative strength index is at 47% which is very neutral, the pair will have the ability to move in either direction in the upcoming trading sessions in the event that the consolidation phase ends.
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.