Yesterday, the price of silver fell to last Thursday’s opening levels, when a new local low since the end of October 2015 was reached. Prices of commodity assets are falling as risk appetite is gradually returning to the market. However, the US Dollar remains under pressure while the upcoming publication of FOMC Minutes, due on Wednesday, might shed light on the timing of future monetary policy tightening in the US.
Support and resistance
Bollinger Bands indicator on the daily chart is directed up. The price range is narrowing down. MACD is falling and keeping a buy signal. Stochastic is approaching the oversold zone suggesting a downward movement might slow down in a while.
The indicators recommend waiting for clearer trading signals.
Support levels: 15.15, 15.07, 14.90, 14.78, 14.63 (5 February low), 14.55, 14.48, 14.40, 14.30.
Resistance levels: 15.25, 15.44, 15.62, 15.84, 16.00 (near 11 February high), 16.10, 16.34 (28 October 2015 high), 16.84.
Long positions can be opened if the price rebounds from the level of 15.10 with targets at 15.50, 15.65 and stop-loss at 14.95. Validity – 1-3 days.
Short positions can be opened if the price breaks down the level of 15.08 with targets at 14.80, 14.60 and stop-loss at 15.15. Validity – 2-4 days.Publication source