Technical outlook and chart setups:
Silver has dropped from the sub-levels $16.00 earlier as expected. Intraday rallies are now to remain capped well below the $16.10 levels, which is interim resistance. As shown here, the metal might be unfolding a correction (3 waves), which could end around the $15.00 levels. It is hence recommended to remain flat for now and wait for a correction lower to initiate fresh long positions. Immediate support is seen at the $15.40 levels, followed by $15.00 levels, $14.40 and lower, while resistance is seen at the $16.10 levels (interim), followed by $16.50 and higher.
Trading recommendations:
Remain flat for now OR short with stop at $16.50, target is $15.30.
Good luck!
The material has been provided by InstaForex Company - www.instaforex.com