Markets

Silver Technical Precious Metals (2011-08-05)

Morning Report Silver achieved yesterday the first target at 42.05, while we indicated that stability above this level is necessary to achieve this positive scenario, however, silver failed to consolidate above it, which lead the metal to decline sharply reviving the flat wave pattern as shown above and we can see silver is trading within C wave of the pattern. The metal is currently stable below 39.75, which could lead toa downsidebais to extend attempting to breach 38.25, which if occurred may lead the metal to extend the downside move towards 37.30. Stability above 39.75 shall weaken the downside possibility. The trading range for today is among the key support at 36.30 and key resistance now at 42.05. The short-term trend is to the downside targeting 26.65 as far as areas of 48.50 remain intact with weekly closing. Previous Report Weekly Report

Support 39.00 38.70 38.25 37.95 37.30
Resistance 39.75 40.00 40.40 40.90 41.20
Recommendation Based on the charts and explanations above, we recommend selling silver around 39.20 and take profit in stages at (38.25 and 37.30) and stop loss with 4-hour above 39.75 might be appropriate today

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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