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10.09.2014 04:42 AM
Technical analysis of Silver for September 10, 2014

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Technical outlook and chart setups:

Silver finds support at the $18.90 level, just ahead of the critical low defined at $18.60 for now. The metal pulled back sharply to close above the $19.00 mark. A 4H chart view has been depicted here to catch a short-term reversal signal. Please, keep in mind the bigger picture discussed on the daily chart yesterday. As seen here, the metal has produced an engulfing bullish signal, indicating a potential reversal from current levels ($19.06). A follow through rally towards $19.30 and subsequently to $19.50 would confirm that bulls are back in control. Immediate support remains fixed at the $18.60 level, while resistance is seen at $19.30, followed by $19.50, $19.90/$20.00 and higher respectively.

Trading recommendations:

Remain long, stop at $18.60, the target is open.

Good luck!

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