FX.co ★ Daily analysis of Silver for August 27, 2014

Overview

As shown in the today's H4 chart, the metal failed to break the support level of 19.30 to reverse its downward trend. It is trading between the support level and below the resistance level of 19.60. Currently, it is approaching the resistance level and starting the bullish move. So, we still suggest waiting for closing above the resistance level of 19.60 to give us a new opportunity for more buy signals with the first target few pips below the resistance level of 19.80. Then after breaking this resistance level, silver would open the way towards the resistance level of 20.00, which means more bullish signals. But as long as the metal trades below the resistance level of 19.60, this cancels the bullish scenario.

Resistance and support levels: R3 (20.00), R2 (19.80), R1 (19.60), S1 (19.30), S2 (19.00), S3(18.75)