Comex Silver (SI)
Silver’s rally extends further today and is set to take on 17.69 high. Break there will confirm rally resumption and should target next key resistance at 19.44. on the downside, below 16.815 minor support will indicate that rebound from 15.76 might have completed. This will in turn indicate that consolidation from 17.69 is still in progress with another fall to retest 15.76 before completion.
In the bigger picture, while a short term top is formed at 17.69, there is no indication of completion of rise from 8.4 yet. Such medium term rise is still in favor to continue after finishing the pull back from 17.69. Nevertheless, note that we’re not seeing a clear impulsive structure from 8.4 yet and hence, we’d treat such rise as part of the long term, wide range, consolidation pattern that started at 21.44 back in Mar 08. In other words, current rise from 8.4 is expected to be limited by 19.55/21.44 resistance zone and bring at least one more medium term fall.
On the downside, however, break of 12.435 support will in turn indicate that whole rise from 8.4 has completed. That is, the third wave of the consolidation pattern from 21.44 has possibly started in such case, targeting a new low below 8.4.
Comex Silver Continuous Contract 4 Hours Chart
Comex Silver Continuous Contract Daily Chart
