Technical outlook and chart setups:
Silver dropped to the sub-level of $17.00 as discussed and expected earlier. The metal has bounced off from fibonacci 0.382 support of the rally between $15.60 to $17.70 as depicted here. The metal is expected to produce a counter rally towards at least $17.50/60 if not higher. It is hence recommended to initiate long positions now with risk at $16.80. Immediate support is seen at the level of $16.90 (interim) followed by $16.70, $16.20, $15.60, and lower respectively, while resistance is seen at $17.70/80 (interim) followed by $18.40/50 and higher respectively.
Initiate long positions now, stop at $16.80, a target is open.
The material has been provided by InstaForex Company – www.instaforex.com