Silver Could Build A Base Above $15

Share On Facebook
share on Linkedin
Print

Traders flipped to net-long exposure on Silver 3 weeks ago. Whilst it’s currently facing selling pressure, we’re looking for key levels above $15 to hold and confirm a bullish flag pattern. Silver was pushed down to an 8-day low in light of improved risk appetite, yet we’re keeping a close eye on its bullish trend structure and suspect it could break to new highs in due course.

As noted in this week’s COT report, traders flipped to net-long exposure on Silver 3 weeks ago. At 30.5k contracts long, it’s the most bullish traders have been on the metal since mid-March, and the past four weeks has seen a steady increase of long positions and decrease of shorts.

However, prices are under pressure given the lift in sentiment around the G20 meeting which has forced Silver down to an 8-day low earlier in the session. Still, the trend structure remains bullish and we suspect bulls will look to build a base above $15, which is also around the 100-day average. Assuming downside is limited from here, we’d then want to see bullish momentum return before assuming a break to new highs.

City Index: Spread Betting, CFD and Forex Trading on 12,000+ global markets including Indices, Shares, Forex and Bitcoin.Click here to find out more..

CLICK HERE TO REGISTER FOR FREE ON ADVFN, the world's leading stocks and shares information website, provides the private investor with all the latest high-tech trading tools and includes live price data streaming, stock quotes and the option to access 'Level 2' data on all of the world's key exchanges (LSE, NYSE, NASDAQ, Euronext etc).

This area of the ADVFN.com site is for independent financial commentary. These blogs are provided by independent authors via a common carrier platform and do not represent the opinions of ADVFN Plc. ADVFN Plc does not monitor, approve, endorse or exert editorial control over these articles and does not therefore accept responsibility for or make any warranties in connection with or recommend that you or any third party rely on such information. The information available at ADVFN.com is for your general information and use and is not intended to address your particular requirements. In particular, the information does not constitute any form of advice or recommendation by ADVFN.COM and is not intended to be relied upon by users in making (or refraining from making) any investment decisions. Authors may or may not have positions in stocks that they are discussing but it should be considered very likely that their opinions are aligned with their trading and that they hold positions in companies, forex, commodities and other instruments they discuss.

Leave A Reply

 
Do you want to write for our Newspaper? Get in touch: newspaper@advfn.com

By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions

P: V: D:20210415 12:21:09