FX.co ★ Technical analysis of Silver for January 20, 2014.

Technical outlook and chart setups:

1. Silver has taken out the $20.50 resistance last week. At the moment, it is recommended to book profits on long positions taken earlier and to wait for a dip to re-enter buying.

2. Resistance is at $20.50, while support is at $19.40/50, followed by $18.75 and lower respectively.

3. Structure reveals that Silver could retrace lower towards the $19.40/50 levels before rallying further. Also the backside of the downtrend line is passing through the same level, which is support now.

Trading recommendations:

Look to buy around the $19.40/50 region.

Good luck!