Morning Report Silver is facing a barrier at 38.2% Fibonacci correction, which represents a critical resistance that forces downside pressures; however, the metal is trading sideways between 23.6% and 50% Fibonacci corrections. Momentum indictors are approaching oversold areas, which supports our expectations for a suggested upside bias over intraday basis. Consolidation above 39.75 is required, while our targets are at 41.55 and 42.05. The trading range for today is among the key support at 38.10 and key resistance now at 43.50. The short-term trend is to the downside targeting 26.65 as far as areas of 48.50 remain intact. Previous Report Weekly Report
Based on the charts and explanations above, we recommend buying silver around 40.40 and take profit in stages at (41.55 and 42.05) and stop loss with 4-hour closing below 39.75. In case the metal reached our stop loss point, we recommend selling silver around 39.75 and take profit in stages at (38.80 and 38.10) and stop loss with 4-hour closing above 40.40 might be appropriate.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.