Technical outlook and chart setups:
Silver is trading at $17.60/70 levels for now after hitting fresh highs at $18.00 levels yesterday. The metal might have formed a meaningful top around $18.00 levels or would push through $18.40/50 levels before reversing lower again. Please note that $18.40/50 levels is a major weekly resistance level, and that the metal should remain poised to produce a meaningful retracement after breaking the same level. It is recommended to initiate 50% short positions at $17.70/80 and the remaining at $18.40 if the prices manage to reach there, with risk at $18.75 levels. Immediate resistance is seen at $17.80 levels, while support is at $17.00 levels respectively. Bears should be poised to regain control any time soon now.
Trading recommendations:
Remain 50% short at $17.70/80 levels, the remaining at $18.40, stop at $18.75, target is open.
Good luck!
