FX.co ★ Silver may be setting up for counter-trend rally towards 25.20 and 26.40

Technical outlook and chart setups:

A Daily chart view has been depicted here for a larger swing view and following can be noted here:

1. Past support turned resistance region is defined by 26.30/50 region.

2. Intermediary support is just above 22.00 (the recent lows); while resistance levels are 26.30/50, 27.80/90, 29.10/20, 32.30, and higher.

3. There is no clear bullish reversal signal on the Daily chart but small timeframes are hinting at a pullback/recovery towards 25.20 and 26.40 levels.

4. It should not be surprising to see prices remaining in a trading range for a while before accelerating gains. Still a bottom formation is possible between 20.00 and 21.40 levels.

Trading recommendations:

Initiate 50% of capacity now, stop is at 21.80, and targets are at 25.20 and 26.40.

Good luck!