FX.co ★ Technical analysis of silver for January 06, 2015

 Technical outlook and chart setups:

Silver bounced off the support region ($15.50) earlier and has reached its intermediary resistance at $16.30/40 levels for now. A push higher is expected towards $18.30 and $18.90 levels at least during the next few trading sessions. Immediate support is seen at $15.50 levels, followed by $14.50 and lower while resistance is seen at $17.30/50, followed by $17.80/18.00 and higher respectively. It is very much recommended to hold long positions and also look to add further, risk remains at $14.25 for now. Bulls are poised to remain in control till prices remain above $15.50 and subsequently $14.50. Also note that $15.50 region is potential right shoulder of an inverted head and shoulder reversal.

Trading recommendations:

Remain long, stop at $14.25, target is open.

Good luck!