SILVER, Trading In Formation That Will Determine The Outcome!

Hello Traders Investors And Community,

Welcome to this analysis where we are looking at SILVER 12-hour timeframe perspective, the recent events, the current formational structure, what we can expect the next times and how possible outcomes can confirm in the structure SILVER is forming at the moment. Since the bearish breakdowns seen in the important precious metals, they are mingling and ready to set up further continued volatility in the range, therefore it is a meaningful question in which direction this upcoming increase in volatility will lead and if SILVER manages to establish the bullish pace it has seen before or the bearishness will continue to the downside, I detected how these outcomes can confirm in the structure and it is highly important that we wait on the proper confirmation here before deciding the final direction and in the end of the day place the trade accordingly into this right direction.

Looking at my chart you can watch there this huge triangular-cluster-formation SILVER is building up here where the upper boundary builds the origin of the descending-channel marked in grey and the lower boundary the origin for the ascending-channel marked in my chart. Furthermore, we see declining volume and volatility which is indicating a shift and increase in volatility sooner or later, when going more into the smaller perspective SILVER has still this huge bearish engulfing candle formed and it has the strong resistance layers in the structure this is why the pull-back here may not yet end for now and should be more expected as the bullish breakout to the upside, nevertheless, it is smart to wait on the proper confirmation here before going into the direction coming up with a consistent entry setup to take advantage of.

When considering the bearish case the price has to move below the lower boundary and close there, the best would be then a pull-back to the lower boundary which will confirm further bearishness, after that established the price needs to cross below the 60-EMA in blue then bearish pressure will continue to the downside, on the contrary, bullish side the breakout may not be that strong and the possibility for a fake breakout is higher than in the bearish case, in this scenario the price needs to form strong bullish action above the higher boundary and stay there to not fall below again, either case can be traded properly after confirmation which should be the recommended trade-entry here, the immediate entry is also possible however it would not show that strong set up which shows up after a consistent confirmation.

In this manner, thank you for watching, support for more market insight, good day to you and all the best!
"Trading effectively is about assessing possibilities, not certainties."

Information provided is only educational and should not be used to take action in the markets.

Comment:

ANALYSIS UPDATE: SILVER completed the whole triangle formation with the more likely bearish breakout development.

SILVER since completing this huge triangle formation accelerated bearishness to reach the final target zones.