Silver has been rallying very sharply in the past days. Unsurprisingly, it bounced back by about half of the previous movement, trading between the 61.8 and 50% retracement levels. This opens very good opportunities to take new long positions, as prices are at half the price of October's.
Looking at the chart, there is a double top in silver, which is a great target for bullish traders.
There are also three wave patterns (ABC), in which wave A represents the buying pressure observed last October.
So, based on Price Action and Stop Hunting strategies, traders could buy from $ 23.4 - $ 23 to the 61.8% - 50% retracement levels. Place stop loss at $ 22.2 and $ 21.5, then take profit on the breakdown of $ 25.
Market volatility will most likely surge today after the FOMC meeting.
Good luck and have a nice day!
