Technical outlook:
Silver 4H chart snapshot has been presented here which is indicating that the metal has completed or near to completing its impulsive drop which began from $17.35 levels. Since April 19, 2017, the metal has been forming lower highs and lower lows and it is still expected to continue much lower, after a brief pullback though. Please also note that Silver has broken below its immediate support trend line and also price support around $16.42 levels. Looking at the wave counts, the metal seems to be completing or already has completed 5 waves from $17.35 levels as depicted here. Aggressive traders might want to prepare to go long around these price levels with a tight risk. The metal should be facing strong resistance around the $16.80-17.00 price zone which is also confluence of Fibonacci ratios and the backside of support turned resistance trend line.
Trading plan:
Conservative traders look to book profits on short positions taken earlier and remain flat. Aggressive traders look to go counter trend long now with risk around $16.00 levels.
Fundamental outlook:
There are no major events lined up for the rest of the day.
Good luck!
The material has been provided by InstaForex Company - www.instaforex.com
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