Technical outlook and chart setups:
Silver has dropped lower as expected and discussed yesterday and is currently trading at the level of $15.30. The metal might produce intraday rallies through the levels of $15.50/60, but should remain well capped below $15.75 going forward. Please note that fibonacci 0.618 resistance is seen at $15.50/55, and the metal is expected to produce a bearish bounce there. It is hence recommended to remain short from earlier positions, with risk above $15.93. Immediate support is seen at the levels of $15.00, while resistance is seen at $15.70/75. Bears are expected to remain in control until prices stay broadly below the levels of $15.93.
Trading recommendations:
Remain short now and add further at $15.50 with stop at $15.99, a target is at $14.50.
Good luck!
The material has been provided by InstaForex Company - www.instaforex.com