Technical outlook and chart setups:
Silver is trading at $16.10/15 levels for now, after hitting $16.37 levels earlier as expected. The metal has taken out resistance at $16.35 levels, completing a 5-wave rally from $13.70 levels, as depicted here on the 4H chart. Please note that the next high probable direction is expected on the lower side, towards 15.40/50 levels, as shown with an arrow here. It is recommended to initiate short positions now, with risk above $16.40 levels respectively. Immediate resistance is at $16.35/40 levels, while support is at $15.90 levels respectively. Bears are expected to remain in control till prices remain below $16.40 levels.
Trading recommendations:
Remain short now, stop is at 16.50 levels, target is at 14.40/50 levels.
Good luck!
The material has been provided by InstaForex Company - www.instaforex.com