Technical output and chart setups:
The metal has already raised above the 22.50 resistance levels recently. It is expected to retrace lower, towards 21.30/40, before rallying further. Hence, it is recommended to initiate long positions there, which are confluence of:
1. Fibonacci 0.618 retracement level
2. Back side of resistance trendline, which is acting as support now.
3. A probable right shoulder for an inverted head and shoulder setup.
Initial resistance is at 23.40/50, followed by 24.00, and 24.50; while support begins from 20.50 (intermediary), followed by 19.00, and 18.00, respectively.
Trading recommendations:
Buy on dips towards the 21.30/50 levels.
Good luck!
