Technical outlook and chart setups:
The structure and pricing remains more or less unchanged with silver seen to be taking support from $17.00 level. The metal is seen to be trading at $17.42 level for now, looking to stage a counter trend rally towards $18.50/19.00 levels. Please note that it is quite possible that the metal may resume its rally from here. The wave structure also indicates that the metal is into its wave C drop, within the 3 wave A-B-C that began from $21.10 level earlier. If the metal reverses from $18.50/19.00 levels, then it would form base around $16.50/60 levels which is also the fibonacci 0.618 support of the entire rally between $13.70 and $21.10 level respectively. It is recommended to remain flat for now and look for opportunities to short again on rallies. Immediate resistance is seen at $18.50/19.00 levels, while support is at $17.00 level respectively.
Trading recommendations:
Remain flat for now. Aggressive traders may go long , with stop at $17.00 and targeting $18.50 at least.
Good luck!
