FX.co ★ Technical analysis of Silver for May 20, 2016

Technical outlook and chart setups:

Silver has dropped lower as expected and is now seen to have found support at the fibonacci 0.50% retracement levels of the rally between $14.80 and $18.00 levels respectively. The metal is seen to be trading at $16.50 levels and might drop to $16.00 levels before resuming its rally. Please note that the corrective wave structure that began from $18.00 levels might be coming to an end. Bulls could regain control from here on and push prices higher to fresh peaks in the coming weeks. It is hence recommended to remain long again with risk below $16.00 levels. Immediate resistance is seen at $17.50 levels, while support is at $16.00 levels respectively.

Trading recommendations:

Remain long again, stop below $16.00, target is open.

Good luck!