Silver reversed sharply recently along with Gold. Such sharp up move is not only because of Comex movement but also due to depreciation in INR. On Comex Silver there is a strong support near 16.30 and resistance at the previous pivot high of 16.50. We can expect some consolidation in Comex Silver but have to monitor INR movement closely to capture trend in MCX Silver. Below is the part of research taken from “The Commodity Waves Short Term Update”.

Silver 60 mins March contract chart:

Silver,Elliott wave,Precious metals

(Part of research taken from report dated 4th January 2017)

Wave analysis:

It seems that wave (v) completed near 38400 and since then we are seeing retracement of the down move. Prices are now near the red channel resistance as shown on daily chart and it is crucial to see if it can sustain above the same or reverses from here on. As the up move from 39000 level is sharp it is better to stay on the long side once we see dips towards 39900 with 39400 as good stop for target of …...

In short, for Silver dips should be utilized as buying opportunity with 39400 as short term support level to watch. Close above ….. will open up further positive options.

The correlation between Comex Silver and MCX Silver will eventually increase which should provide good trading opportunities. Subscribe to “The Commodity Waves Short Term Update” which covers Gold, Silver, Crude and Copper with Elliott wave counts and trading strategies. For more information visit Pricing Page