Silver weekly outlook 7 to 11 April 2014
Silver daily chart technical analysis
Silver future on last trading session closed at 42,969 with loss. On daily chart, price trend and momentum both are down. Silver is trading new lows with bearish indicators patterns. For next week, silver support zones are 42,400 and 41,500 while on upside 44,200 is 1-month average and first major resistance and 45k is 3-month average and next major short-term resistance.
On indicators and oscillators, RSI is 38 and off the low while CCI is -112 and with rounding bottom.
Traders above 42,500 can expect short covering up to 44,200 so stay long with strict stop loss below 42,500 levels. Any daily closing below 42,500 falter recovery rally and we may see 41-40k levels on fresh selling.
Silver weekly chart technical analysis
Silver future this week closed with half a percent gains. On weekly chart, silver future trend and momentum both are down. This week silver future hit high at 43,440 while low was at 42,528. Total 1000 rupee or 2% weekly swing and closed with gains on some value buying.
From medium to long-term view, silver support zones are 40k and then 38k, which are previous swing bottoms. While on upside 45,500 is 6 month average and first major resistance. Above it, 47k is 12-month average and next major resistance zone.
On indicators and oscillators, RSI is 43 and with bearish divergence. CCI is -96 and heading towards -200 levels with bearish divergence.
Investors below 45,500 levels stay short or stay away and expect lower targets of 41-40k in medium terms.