Weekly Silver Technical Update(1/10/12-5/10/12)

Weekly Technical Analysis for Silver:

There was not much price action this week, a pullback is anticipated into the 33.26-33.76 zone provided 35.22 is not breached on a strong daily close. If it does we would next target the 37.50 area.

               The highlighted area denotes support for the medium term.The medium term has already turned neutral/neutral bullish.For continued upside price action 29-29.50 must hold.

Happy Trading.

Daily Silver Technical Update(1/10/12)

Daily Technical Analysis for Silver:

Price are moving in a sideways pattern since mid September between $35 and $34 zone.We were anticipating a pullback and it did occur in the 33.26-32.76 zone testing the higher end.But we still continue to hold this scenario and think that prices should continue to pullback,provided 35.22 is not breached.This sideways price action must continue for this week too because the previous move was too far too fast.Support for the pullback remains at the same zone 33.26-32.76 and then 32.46 probably.

Happy Trading.

Daily Silver Technical Update(24/9/12)

Daily Technical Analysis for Silver:

Silver did not close above 35.05.However, silver tested 35.20 and reversed back sharply lower making 35.20 as a strong resistance.A pullback should occur in a week or two testing the 33.80 zone initially and then 33.26-32.76 finally.A strong close above 35.20 would weaken the pullback scenario.Resistance at 34.80-34.95
Happy Trading.

Weekly Silver Technical Update(24/9/12-28/9/12)

Weekly Technical Analysis for Silver:

Pullback potential does exist and initial support for the pullback remains at 33.80 and then the 33.26-32.76 zone.Looking at the pattern of the fall we will conclude that if this pullback will have the potential to turn the short term as well as medium term trend to neutral. Any close above 35.20 would rescind this forecast.

Resistance remains at 34.80-34.95-35.20.
Happy Trading.

Daily Silver Technical Update(19/9/12)

Daily Technical Analysis for Silver:

Silver fell and rose back again making new highs at 35.05 a strong close above this would negate the pullback scenario.Initial Support for the pullback remains at 33.80 and then 33.26-32.76 zone.

Note: A strong bearish divergence is seen both in the MACD histogram(left chart) and rsi(right chart),this points to the fact that a fall must ensue sooner than later

Happy Trading.

Daily Silver Technical Update(17/9/12)

Daily Technical Analysis for Silver:

Silver broke higher and stopped rallying at 34.98 making it a resistance,this rally must be complete with another upward push testing 35.56.The indicators sport a classic bearish divergence and a great volume spike occurred at the highs signifying a short term exhaustion in the rally.A pullback is anticipated into the 33.26-32.76 zone and then 32.24.Resistance at 35.50-35.98.

Happy Trading.

Weekly Silver Technical Update(17/9/12-22/9/12)

Weekly Technical Analysis for Silver:

The fed announced QE 3(Operation Twist/Infinity), stating that it would provide monetary stimulus of $40 billion dollars every month by buying mortgage backed securities, and this would continue until the FED finds the economy to be back on track.The primary motive of this is to increase spending by keeping the interest rates low(while QE1 & QE2 with similar motives failed miserably).This news usually is bullish for both gold and silver and was confirmed by the rally right after the announcement was made.

                       However,both gold and silver are at short term overbought levels and are arriving at a very important trend line highlighted in the monthly chart attached.Though the medium term has turned neutral/neutral bullish, silver would be ready for a pullback into the 32.50-32.24 zone and then finally the 31.57-30.54 zone,while a breach of 34.98 would result in 35.50-35.98 and then finally 36.50-37.22(low probability but a possibility).

Happy Trading.

Daily Silver Technical Update(13/9/12)

Daily Technical Analysis for Silver:

Sorry guys the updates were not regular this week but the mentioned resistance zone capped the rally quite well.We'll have a detailed update this weekend possibly.

Now,today the volatility would "BURST" similar to what it did on the payroll data release.So remain CAUTIOUS.Now going to the technical picture silver is overbought but this does not always mean that it will fall hard,but now, it looks like the downside potential must start increasing, because we did have a sharp reversal yesterday.This is the point which would decide silver's medium term outlook.Old highs must cap(34.09) any further rallies,on a breach we would next eye 35.06 region.Support at 32.46-32.00

Happy Trading. 

Daily Silver Technical Update(7/9/12)

Daily Technical Analysis for Silver:

The next potential stopping range is 33.67-33.89.

Happy Trading.

Daily Silver Technical Update(7/9/12)

Daily Technical Analysis for Silver:

Silver reversed lower right from the mentioned resistance zone at 32.65-33.15.It must trend lower now until 32.98 is breached.Support at 31.50-31.25.Resistance at 32.50-32.70-32.90.Watch out for a burst in volatility during the payroll data release.

Happy Trading.

Daily Silver Technical Update(6/9/12)

Daily Technical Analysis for Silver:

After the breach of 31.66-31.86 zone silver broke out testing 32.40,now the next target zone is at 32.65-33.15.However,silver's rally must be complete with another upward push into the 32.65-33.15 zone.Support remains at 32.26-32.00.A strong break below 31.70-31.55 would signal lower levels and target 30.60-30.35 zone.

Happy Trading.

Daily Silver Technical Update(3/9/12)

Daily Technical Analysis for Silver:

Volatility shot up,after testing the mentioned support at 30.26 within just (approx.) 13 minutes silver rose by 3.1% testing the 31.26 area and then finally ending the rise in the 31.66-31.86 zone.Now silver must start its decline stair stepping lower,while any stability above 31.66-31.86 would open up the doors for new phase of gains targeting the 32.46-32.65-33.16 area.Initial Support resides at 30.65-30.26-29.80.

 
Happy Trading.

Weekly Silver Technical Update(3/9/12-7/9/12)

Weekly Technical Analysis for Silver:

We dint update last week,but as stated in the daily updates silver reached the target zone at 31.66-31.88.Silver is at a critical medium term juncture a breach of the aforementioned zone would target the higher zone at 32.65-33.15-33.76.While a break of the 28.30 would signal the resumption of the bear trend. Looking at the charts we see silver arriving at a very important downtrend line(connecting three important highs at 49.79,44.17,37.50) any strong weekly close above this line would change the medium term outlook to neutral or neutral/bullish.The media reported freshly grown optimism among the gold investors with the gold bugs screaming "" $2000 ""ahead,this optimism would likely be challenged(with falling prices) within a few weeks ahead.Lets stay close to the market a slightest sign of the fading optimism would be reported immediately.
Happy Trading.