Reasons for my call:
1) Just bounced off the 0.618 Fib level
2) Just bounced off the bottom trend line of a broadening ascending wedge
3) RSI stochastics just moved up from a buy zone, MACD's momentum seems to be swinging upwards
4) Bounced off lower Bollinger Band
Target for a long trade:
First target: 1.112 to 1.115
Why? At the supply zone formed by Sep...
Silver is potentially set up for a consolidation phase, with bullish bias due to strong support at the $18 to $20 zone. Fundamentally, delayed US tapering and weakness in risk assets would also contribute to strength of metals.
Conversely, if the situation changes next year, there could be a downwards breakout instead. A break of $18 would send prices spiraling...
