Silver Trading Update for JuneCurrent Situation
The initial short position entry at $30.52742 has been activated as the price has reached our first entry level. This position aligns with our overall bearish outlook for silver in June, based on seasonality, COT index insights, and technical analysis.
Active Trading Plan A
Current Position:
Entry: Sell at $30.52742
Stop Loss: $30.93491 + Spread
Take Profit: $26.82082
This position aims to capitalize on the anticipated pullback to a daily demand level, driven by seasonal weakness and bearish sentiment from smart money.
Standby Trading Plan B
Scenario: Price moves higher, providing a better entry point for a short position.
Entry: Sell at $31.25125
Stop Loss: $31.80 + Spread
Take Profit: $26.82082
Plan B remains on standby and will be activated if the price reaches the higher entry level, offering a favorable risk-to-reward ratio for another short position.
Key Factors to Watch
Seasonality: June's historically weak performance for silver.
COT Index: Bearish positioning with a 1-year rolling score of 3.8% and a 3-year score of 2.3%.
Technical Signals: Higher time frame break of structure, buy-side liquidity taken, and H4 imbalances.
Next Steps 🕰️
With Plan A now active, we will monitor the market closely. Patience and discipline are crucial as we wait for the trade to unfold. Our stop loss is in place to manage risk, and our take profit level aims to capture significant gains if the anticipated pullback occurs.
Conclusion 🧩
The activation of Plan A is a strategic move based on thorough analysis and disciplined trading principles. The bearish sentiment from smart money, combined with seasonal weakness and technical indicators, supports our short position strategy. We will continue to watch the market and adjust our plans as necessary, always prioritizing disciplined risk management.
🚀 Happy trading and may the markets be in your favor!