wavesstrategy

Comex Silver: THE MAGIC OF $26

Chart courtesy: Netdania

MCX Silver Daily chart:

MCX Silver 60 mins chart:

Wave Analysis:

Comex Silver: THE MAGIC OF $26 -  As shown on the daily chart of Comex Silver 26 level has been tested for the 5^th time since 2011. Prices touched this level on intraday basis and bounced back exactly from there. It is now important to observe if this 26 level continues to be defended by prices and a move above 30 will break the strong downward sloping trendline. However any failure of 26 to work this time will be strongly bearish from medium to long term perspective and prices can then move towards 15 to 17 level range.

MCX Silver we mentioned before that, “In short, wait for break above 52600 for taking long positions. Any move below 52000 will be strongly bearish.” We can clearly see that prices took support at 52000 levels as expected.

As shown on 60 mins chart, prices have been taking strong resistance on the blue trendline drawn since 55000 levels. It is now important to observe if Silver manages to break above this level which is at 52600. A decisive hourly close above this level will be bullish and can take prices towards 54000.

In short, wait for 52600 to be taken out for positivity. Any move below 51600 – 51800 will be bearish with next support directly near 51000 levels.