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Daily analysis of Silver for May 25, 2016

SILVERH4.png

Overview

According to the attached H4 chart, the silver price ended yesterday's trading below the bullish channel's support line shown on the chart. This activates the negative scenario that targets 15.87 followed by 15.37 levels on the near-term basis and extends the negative effect of the previously completed head and shoulders pattern, the signs of which appear on the chart. The EMA50 supports the expected decline, which will remain valid and active unless breaching and holding above 16.37 levels because this breach represents the key to regaining the bullish trend, the positive targets of which begin at 17.00 followed by 18.00.

The expected trading range for today is between the 15.70 support and the 16.37 resistance.

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