Based on the current analysis, the price of silver is currently experiencing a short-term bearish trend, and it is currently testing the 68% Fibonacci retracement level at 23.715. It is important to note that the price is positioned between the 200-day and 50-day moving averages. In the short term, there are two possible scenarios for silver.
In Scenario 1, the price may continue to decline and test the 61.8% Fibonacci retracement level at 23.715. If this test proves successful, it suggests that prices could further decrease and test the 23.447 level. A successful test of this level could potentially lead to a further decline and a test of the 23.210 level. It is crucial to monitor the psychological support level at 22.960, as it could act as a significant support level below.
In Scenario 2, the price of silver may move higher and test the levels of 24.042 and 24.239. If these tests are successful, the price could potentially rally and test the June highs around 24.520. It is important to note that in the short term, the market has been forming lower lows since the peak in June at 24.520. This indicates a bearish pattern in the market.
Additionally, a significant factor to consider is the possibility of a trendline break at the 23.609 level, which would signal a bearish breakout. Such a breakout could have implications for the market’s direction.
Taking all the factors into account, it is possible that the market could range between the levels of 24.406 and 23.210. It is essential to closely monitor the 22.941 level as a key level to watch. Any significant price movement around this level could provide valuable insights into the market’s future direction.
In conclusion, the short-term outlook for the Silver suggests two possible scenarios. Scenario 1 indicates a potential further decline with key levels to watch at 23.715, 23.447, and 23.210, while Scenario 2 suggests a potential rally with levels to watch at 24.042, 24.239, and 24.520. Monitoring the trendline break at 23.609 and the psychological support level at 22.960 will be important for assessing the market’s future movements. The market’s potential range is estimated between 24.406 and 23.210, with the 22.941 level being of particular significance.