SILVER, The silver is approaching to a touch distance from the meeting point between its trend line and the Fibonacci 38.2%. (Daily Signal), November 17, 2010

SILVER

The upwards movement of silver in late October and early November was the sharpest movement ever spotted on the financial markets. Silver has rose by not less than 22.5% in two and a half weeks! The downward correction came rapidly and is no less aggressive than the preceding upwards movement. That said, silver's technical picture reveals that it is approaching to a touch distance from the meeting point between its trend line and the Fibonacci 38.2% retreat level around the 25.00-dollar price limit.

This level is sufficiently attractive for a buy deal on silver, which is expected to be supported at this level, and begin shaping a new upwards movement, which may return back to the previous record around 28.50 US dollars per one ounce of silver. On the other hand, it is important to plan for a reverse scenario, wherein silver breaches the trend line and continue the current wave of downwards movements. In such a case, a daily close under the 24.80 level will serve as a trigger for a sell deal with exit goals marked at 23.50, 22.00, and 20.50 US dollars per one ounce of silver respectively.