Search ForexCrunch
  • Silver trades in a choppy range between $26.97 and $26.68.
  • A confluence of 21-day EMA, an ascending trend line from August 12 restricts immediate downside amid bearish MACD.
  • Bulls need to refresh the monthly top to retake controls.

Silver struggles for a clear direction while taking rounds to $26.85 during Tuesday’s Asian session. The white metal marked a bearish spinning top candlestick the previous day, suggesting sellers’ exhaustion, while it’s sustained trading beyond 21-day EMA and one-month-old support line favor odds of its recovery. However, bulls struggle to retake controls.

As a result, traders will wait for a clear break of either the $26.70/65 support confluence or the monthly high of $28.90 before taking any major position. Though, $27.60 and $28.50 may entertain the short-term buyers.

During the quote’s sustained run-up beyond $28.90, the multi-month high flashed in August around $29.80 and $30.00 will be the key.

Meanwhile, a downside break of $26.65 may take a break near 50% Fibonacci retracement of July 28 to early August run-up, at $26.03.

It should be noted that 61.8% Fibonacci retracement and an upward sloping trend line from July 28 will question the bullion’s downside past-$26.03 around $25.30/20.

Silver daily chart

Trend: Sideways

 

Expert score

5

Etoro - Best For Beginner & Experts

  • 0% Commission and No stamp Duty
  • Regulated by US,UK & International Stock
  • Copy Successfull Traders
Your capital is at risk.