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Technical analysis of Silver for December 21, 2015

Technical outlook and chart setups:

Silver is looking for an opportunity to correct lower to the levels of $13.80/90 before reversing higher again. The wave structure may be unfolding into a consolidation as depicted by the arrows here before breaking out. The metal is producing an evening star bearish candlestick pattern at the moment and is trading around $14.15/20. It is hence recommended to take partial profits on the long positions taken earlier and look for an opportunity to enter around the level of $13.80/90. Immediate support is seen at $14.02 followed by $13.88 and lower, while resistance is seen at $14.30 and higher.

Trading recommendations:

Remain long (but book partial profits). Enter fresh longs at $13.80/90.

Good luck!

The material has been provided by InstaForex Company - www.instaforex.com