Good morning team,
We are taking a look at silver anticipating a short term pullback from resistance before a continuation higher.
For those interested gold also appears to have bottomed out creating a double bottom formation and a weekly doji candle.
With the US government, FED and treasury all set to continue money printing through stimulus and infrastructure spending we see the DXY weakening over the medium term, which should provide a bullish outlook for metals.
SILVER 4 Hour Charts
Silver is currently testing the upper trend line of a potential bull flag structure.
SILVER 1 Hour Charts
Our ideal scenario is for silver to pull back towards the 61-38% FIB retracement. This will set up a possible inverted head and shoulders formation.
Trade Setup: BUY LIMIT – Entry price 24.60, stop loss 23.60 and take profit left open.
Stop loss: 100 pips
Please check contract sizing, if you need a hand let us know in the live chat.