The ABC's of how to polish SILVER .

Lets set the scene.

Direction of the trend

Silver made a key swing high of 21USD in July 2016 , then reversed for the next 6 months in a downtrend to arrive at an intermediate support level of 15.60.

For 2017 silver has traded in a range defined by the 2 intermediate key levels of 15.60 to 18.60 .


Pattern

It is possible Silver is carving out a downward orientated wedge, which started in March 2017. Four legs of this corrective structure have completed , with the wave E now in progress.

Overall the pattern may be an ABC movement , being an EXPANDED FLAT PATTERN.

Price Averages

Silver has moved beneath its long term averages (17.50) and at its short term average (17.20). The monthly pivot is 16.95, not to far away. So silver for the moment seems fairly priced.

Oscillators

There is a hidden bearish divergence at play. That is price has made a lower high, and yet the oscillators ( momentum ) has made a higher high : ( RSI) near equal high.

Candlesticks

At point D we have a bearish harami ( not so important for me)



So where is silver headed ??????????????

Bears - take a ride down to 15.30 ( which incidentally is the .786 correction of a primary long term wave )

Bulls - wait for the demand zone around 15.30 and buy this dip and enjoy the ride to C ( which is where the 5 year silver moving average sits at. Talk about a big reversion to the mean ).

I have left off the MAVS in the chart ( I hate messy charts just as much as the next person) , so put them in to check the figures quoted.

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Silver moving down nicely.... losing some of its polish... the Monthly S1 is likely to be taken next....

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Silver has made a bearish candle for the preceding week. It is possible that price continues downwards towards both the S1 Monthly pivot and the 2SD Bollinger Band....