Technical outlook and chart setups:
Silver is seen to be trading at $17.38 levels at this moment, looking to break lower from here. The metal is also seen to be drifting in an ending diagonal as depicted here (a normal property of 5th wave within an A-B-C correction). If the above wave structure holds, the metal should resume its downtrend from here on. Furthermore, it is seen to be facing stiff resistance between the Fibonacci 0.618 and 0.786 levels of the drop between $18.00 and $15.80 levels respectively. Bears are expected to remain in control, till prices stay below $18.00 levels. Hence it is recommended to remain short from here, with risk above $18.00 levels. Immediate resistance is seen at $18.00 levels, while support is at $17.00/10 levels respectively.
Trading recommendations:
Remain short, stop is above $18.00, target is open.
Good luck!
The material has been provided by InstaForex Company - www.instaforex.com