Overview
The H4 chart demonstrates today that silver failed to break the lower boundary of the bearish channel yesterday and still trading inside the bearish channel and currently is testing the Resistance level 29.00. If the pair cannot break this Resistance level and closed 4H below it, it provides a good opportunity to sell below the lower boundary of the bearish channel, then the Support level 28.45. After that we should wait for breaking out of this Support level to continue the bearish move, then we will get a bearish strength, which will provide new sell signals and enable the Support level of 28.00 as a target level. On the other hand, if silver reverses its bearish move and takes an upward direction after its failure to break the Support level 28.45, it will be a strong indicator for the bullish move, after closing 4H above the Support level enabling the Resistance level of 29.00 again. In this case, we should wait for breaking this Resistance level to continue the bullish view. Based on the given H4 chart, the technical indicators provide sell signals, but as long as the Support area is unbroken, the upward move is still expected invalidating the downward movement. Therefore, we should wait for more confirmations before making a decision.
Resistance and Support levels R3 (30.20) R2 (29.45) R1 (29.00) S1 (28.45) S2 (28.00) S3 (27.50)
