Silver Technical Analysis for August 01, 2016

Technical outlook and chart setups:
Silver is seen to be trading at $20.55 levels for now, after having made highs at $20.65 levels earlier as expected. Please make note that Silver is soon approaching resistance at $20.80/90 levels and it is quite possible that the metal rallies through those levels before finally reversing lower. There might be one last leg rally left before reversing sharply lower for the remaining of August series. If Silver fails to break above $21.13 levels, it should drop lower towards $18.00 levels going forward. The wave structure also indicates that a flat is underway and the metal is expected to turn lower from around $20.80 levels. It is recommended to turn short now, with risk above $21.13 levels. Immediate interim support is seen at $19.20 levels, while resistance is at $21.13 levels respectively.

Trading recommendations:
Remain short from $20.50 levels, stop above $21.13, target is lower.

More analysis - at instaforex.com