SILVER - A BIG CORRECTION IS COMING ?
Updated
Silver has been in a correction since reaching 21.1/oz. The last attempt only could bring silver to 220.76/OZ before again sliding to the support zone at 19.2/oz. In fact, silver has been in a range from 19.2 to 20.7 (yellow box as charted).
However, the last attempt failed to made a new high and that is a first sign of bearishness. Plus price has broken down the daily trend line drawn as chart. Silver again tried to retest that trend line but seems like it can't hold above there. This is a second sign of bearishness.
I think silver will fall more from here to the bottom of the box. Once the major support area at 119.2/OZ can't hold, silver will be expected to fall heavily and quickly to the next major support area at 18/oz.
Trade Plan:
Sell 1 contract @$20.0
Stop loss over $20.8
Take profit $18.2 (might take partial profit at $19.2)
Thanks for reading. Stay tuned.
However, the last attempt failed to made a new high and that is a first sign of bearishness. Plus price has broken down the daily trend line drawn as chart. Silver again tried to retest that trend line but seems like it can't hold above there. This is a second sign of bearishness.
I think silver will fall more from here to the bottom of the box. Once the major support area at 119.2/OZ can't hold, silver will be expected to fall heavily and quickly to the next major support area at 18/oz.
Trade Plan:
Sell 1 contract @$20.0
Stop loss over $20.8
Take profit $18.2 (might take partial profit at $19.2)
Thanks for reading. Stay tuned.
Note
Silver is at 18.55 now. Looking to take profit at $18.2
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