Silver - ready to break out of range?
Since reaching $30 and coming back down, XAG has been stuck in a beautiful technical structure. It bounced straight off of the long-term fib at around $26.15 before becoming range bound between the weekly support at around $26.85 and the recent 0.618 level at about $27.75.
Last night after the market opened back up, XAG crashed back down to the long term fib at $26.15 before being bought straight back up. You can see this on the 5m chart (I would post it but TV won't let me with my rep level).
Combined with all the talk of Gold bouncing off its support and starting a new bull run and the general rising trajectory of Silver, I feel like Silver is ready to make a move up into the $28-29 area.
If we do break out past $27.75, $28.27 will probably be where it finds resistance. I would say the best setup if you aren't in already would be to buy on the pullback of this break at $27.75.
Entry: $27.75
TP: $28.76
SL: $27.47 (feel free to go wider as the broken fib level should provide some decent support)
Happy trading!
Last night after the market opened back up, XAG crashed back down to the long term fib at $26.15 before being bought straight back up. You can see this on the 5m chart (I would post it but TV won't let me with my rep level).
Combined with all the talk of Gold bouncing off its support and starting a new bull run and the general rising trajectory of Silver, I feel like Silver is ready to make a move up into the $28-29 area.
If we do break out past $27.75, $28.27 will probably be where it finds resistance. I would say the best setup if you aren't in already would be to buy on the pullback of this break at $27.75.
Entry: $27.75
TP: $28.76
SL: $27.47 (feel free to go wider as the broken fib level should provide some decent support)
Happy trading!
Comment:
First resistance bounced off perfectly. Price is currently sat between that and the 0.618 level. Current PA is still indicating our big target will get hit.