Blue rectangle- support area
Violet lines- Fibonacci retracement levels
Silver price is trading just above the key short-term support of $24.50. This is the 4th time price is testing this support level. Silver bulls made an attempt yesterday to push price to new higher highs above $26 but they failed and price got rejected. Price is again under pressure and a break below the key horizontal support would be a new bearish signal. Already yesterday's rejection was a bad sign for bulls. If the rejection is combined with a break below $24.50, then we will most certainly should expect sellers to push price lower towards the 38% Fibonacci retracement level at $23.66. We remain short-term bearish Silver expecting more downside. We usually do not see price bounce for a 4th time of the same support. We believe the 4th test of the $24.50 support will be the last and price will break down below it.
