Points to consider:
- Strong resistance
- 2.272 target
- above 50
- Stochastics overextended
SILVER unable to break structural resistance with multiple failed re-tests, however, price is quickly bought up as it retraces from resistance indicative of buyers being present, setting a slightly bias in the market.
A break of this formation validates the next target of 2.272; also in confluence with structural resistance. Whereas a break of this formation, price is likely to find local support at the 1 target.
is currently testing 50, recovering from overbought conditions. A break requires the to range above 50, signifying strength in the market.
The recovering from oversold conditions with ample space for an increase in momentum.
is clearly declining and remaining below average. This is usually an indication of an influx being imminent, likely to coincide with the breakout.
Overall, in my opinion, a break and candle close above resistance validate next immediate target of 2.272 . The break needs to be backed with increasing to avoid any false breaks.
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