Technical outlook and chart setups:
Silver has dropped to yet another low at $15.77 levels before pulling back again. Please note that the metal is trading around $15.85 levels for now and might have completed a test of recent lows discussed yesterday. The metal should remain poised to break higher from here anytime and take out initial resistance at $16.20/30 levels now. Furthermore, the metal is trading near the past resistance turned support region indicating that a bottom is near. The wave structure also indicates that the entire rally from $13.60 through $21.00 levels has been retraced to fibonacci 0.618 supports, and a turn is just round the corner. Immediate support is seen at $14.80/15.00 levels, while resistance is at $16.25 levels respectively.
Trading recommendations:
Remain flat now and look to go long after $16.20/30 is taken out.
Good luck!
The material has been provided by InstaForex Company - www.instaforex.com