Ape

SLV Triple Top Resistance

BATS:SLV   iShares Silver Trust
2
In this chart I analyzed SLV's 1 minute chart for May 9. Here I pointed out three peaks where SLV rallied to 20.47 before encountering resistance and heading back down. Volume is a key factor in identifying this triple top resistance. Before each rally to the resistance there would be significant increase in volume , but each rally had less volume then the one before it. You can see where I circled the three spikes in volume prior to a run to the resistance. You can still see a spike in volume in each subsequent rally, but each has less volume which is key. I circled a fourth spike that occurred before the bell. This could indicate a possible fourth wave to test the resistance. The decrease in volume in this spike indicates that there will probably be a fourth wave to test the resistance before falling and testing previously made support levels. Each rally created a possible level of support for SLV to bounce off (28.32, 28.15, 28.00). Based off this chart I think it is likely that SLV will take support at 28.32 and create a 4th wave to test resistance at 28.47 before reversing trend. After reversal of the 4th wave I will be watching the $28 for key support. Here I believe SLV along with silver will break support and create a new low, or it will bounce off support and reverse trend.

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