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Monday, February 20, 2012

SILVER Intraday Technical analysis 2012-02-20


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The silver is currently testing the upper limit of its medium term bearish channel in 33.70. and seems to initiate a decline. However a break of these levels would free up significant potential and initiate a bullish trend.
Technical indicators don't give clears signals but approaching to the overbuy zone suggesting a decline. Bollinger bands have greatly tightened in recent days showing a decline in volatility and the imminence of a violent movement.
According to previous events, the market indicates a bullish opportunity as soon as the silver will have broken its resistance in 33.70 with a 1st objective of 34.30, then 34.50. A break in 33.50 would invalidate this scenario.
 

 

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