Technical outlook and chart setups:
Silver has tested lows just below the $19.00 levels yesterday before closing at $19.02. At the moment, the metal is trading at $19.05/08 and still looks constructive for bulls, bottom line $18.60 should hold well. Please further note that the metal is being supported around $19.00 levels, which is 0.786 fibonacci support of the entire rally between $18.60 to $21.60 levels in the last 3 months. A bullish reversal here would still keep the bullish structure intact and bring back bulls under control. Under Elliot Wave, the fall from $21.60 till now could be considered as wave 2, within the 5 waves and that wave 3 could resume any time, till prices remain above $18.60 levels. A slight conservative approach would be to let it run through $19.40 levels before initiating fresh longs. Support is at $18.60 while immediate resistance is seen at $19.90/$20.00 respectively.
Trading recommendations:
Remain long from earlier longs, stop at $18.60, target is open.
Good luck!
