Technical outlook and chart setups:
Silver has bounced off the Fibonacci 0.618 support levels at the levels of $16.50/60 earlier (last Friday). The metal is preparing to resume its rally and extend higher towards $18.90 and higher in the coming sessions. It is recommended to remain long and also to add further positions at the current levels. The metal has bounced off its trend line support (not depicted today) as well, which is quite encouraging for bulls. Immediate support is seen at the levels of $16.50 (interim) followed by $16.20, $15.50 and lower, while resistance is seen at $17.40/50 (interim) followed by $18.40/50, $18.90 and higher, respectively. Bulls are setting up to gain control again for now.
Trading recommendations:
Remain long; stop is at $16.00, target is open.
Good luck!
