Silver Consolidated

Silver is having a time of narrow trading where the price has not been able to break through the triangle pattern. Instead, the trend is narrowing down into the three main MAs - 50, 100 and 200. With price below the 200SMA we can expect more to come to the downside as bears could put more pressure South.

Price reached a low of 16.00 a few days ago as a confirmation to the triangle pattern and is now trading at 16.43. Short term support is seen at 16.15. If that level is broken, the precious metal would breakout of the long term pattern and face more room to fall.

On the flip side, if bulls take control, Silver will see price appreciation to first bull target at 17.20. Over 17.20 the metal would be over the resistance and headed to higher grounds.

Chart: XAG/USD D1