SILVER (Ag) WEEKLY PRICE ACTION ANALYSIS

In one of previous articles, we discussed why the crypto boom is likely to bring back investors to the centuries safe havens i;e Silver and Gold. We also talked about why silver is likely to be a better investment than Gold. If you missed the article, you can get it here

Price on the weekly chart is into congestion triangle showed by red trendlines A and B. The large monthly chart is into a large support which explains the large congestions on the weekly chart.

Silver price is coming towards end of triangle without breakout, so may see immediate levels of support X around 15.600 and resistance Y around 19.000 , hold before momentum can build to hit the ultimate levels S and R respectively.

For now keep the trading within the triangle congestion.

Weekly candle close above A may lead price into Immediate resistance Y and depending on the reaction on the Y zone we may see price push to large resistance marked  R around the 20.000 zone.

Weekly candle close below B may lead price into immediate support X and depending on the X zone reaction, price could retest lows at 14.600 zone  marked S

The large monthly chart already shows some bullish bias, so preferably price has to stay above support trend line B to maintain the bullish bias. If the upward bias is maintained and we get prices hitting resistance R, a monthly candle close above the zone R may give a long term monthly swing on the upside.

We still in congestion now, so we will wait for price action on the major marked support and resistance levels.