Negative divergence warning to longs in overcrowded Silver trade

11 thg 8, 2016

Negative divergence in momentum indicators including the RSI shouldn't be ignored by longs in the overcrowded Silver trade.

• Silver currently trading around 20.20
  
• Selling has been seen 50 cents higher around 20.70 over the past month
  
• Support levels: 19.09 (38%), 17.83 (62%), 16.94 (78%)
  
• Resistance level: 21.12 (high pivot)
  
• Downside target: $18 (and possibly a test of the upward sloping 2016 trend line currently above $17)
  
• Trade management: Sell within 20.17-76 with a stop (on daily close) above 21.12
  

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16 thg 8, 2016

Giao dịch được đóng thủ công

The case for a retracement may no longer be valid:

Do not get caught short precious metals as the case for owning gold appears to be regaining ground as USDJPY falls.