Silver Trading at New Low on the Year and Key Support

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Silver Trading at New Low on the Year and Key Support

Silver price broke to a new low on the year at 18.80. The 4H chart shows market in a sideways-bearish mode.

Silver 4H Chart
silver 5/29 4h chart

Price reaction to end the 5/29 session shows a bullish attempt.

An intra-session bullish attempt can be anticipated toward 19.40, the middle of the consolidation range silver has been in for over a month. The 20.00 level will be key resistance, a break above which can move the traders away from the bearish outlook.

The daily chart shows you a reason to look anticipate a bullish outlook.

Silver Daily Chart
silver daily chart 5/29

Range, Support:
The 18.70-18.85 area represent a support going back to December 2013.

From here, there is upside toward 20, then 20.60, and even the 22.17 high on the year. However, silver has been sideways since the end of 2013, and was bearish before that. So we should limit our bullish outlook for now to 20 and 20.60, the middle of this year’s price range.

On the other hand, a break below 18.70 open up a bearish outlook with the 2010 low at 14.63 in sight.

To contact the reporter of this story, email Fan Yang at fan@forexminute.com

Earlier: AUD/NZD Puts in High on the Year and Threatens Bullish Reversal