Silver is consolidating/corrective below Fibonacci retracement at $28.73. Having said that, XAG/USD remains within an overall bullish framework, according to Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank.
See: Gold set to start to outperform silver in the short-term – Credit Suisse
Near-term pivot at $25.65
“Silver has recently failed ahead of $28.73, the 78.6% retracement and we have now eroded the short-term uptrend and the market is correcting lower/consolidating near term. Directly below lies the 55-day ma at $26.59 and the near-term pivot at $25.65, the 8th April high. This is expected to hold the downside and while above here we will maintain an overall positive bias.”
“Below $25.65 lies the $24.68 12th April low and $23.76/57 the lows of the past 5 months.”
“Resistance at $28.73 is regarded as the last defence for the $30.09 1st February high.”
“Long-term, we are bullish and a break above $30.09 will target the $30.76/50% retracement of the entire move down from 2011.”
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