Silver 1 OZ 999 NY (XAG=X) formed a very bullish candle stick

Silver 1 OZ 999 NY (XAG=X) formed a very bullish candle stick

Silver markets initially pulled back a little bit during the trading session on Monday but have found buyers underneath the turn things around and break above the $16.50 level during early trading in North America. However, we still have a lot of resistance near the $16.60 level, so I think it is going to take a significant amount of momentum to finally break out. That being said though, I do think it happens so I think it’s only a matter of time before buyers get rewarded.

Technical Indicators

Overall, the bias in prices is: Upwards.

Note: this chart shows extraordinary price action to the upside.

By the way, prices are vulnerable to a correction towards 15.60.

The projected upper bound is: 16.90.

The projected lower bound is: 15.95.

The projected closing price is: 16.43.

Candlesticks

A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 6 white candles and 4 black candles for a net of 2 white candles. During the past 50 bars, there have been 33 white candles and 17 black candles for a net of 16 white candles.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 57.8828. This is not an overbought or oversold reading. The last signal was a sell 6 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 62.53. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 3 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 24. This is not a topping or bottoming area. The last signal was a sell 7 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 2 period(s) ago.

Rex Takasugi – TD Profile

PREC.M.XAG= closed up 0.180 at 16.390. Volume was 8,900% above average (trending) and Bollinger Bands were 134% wider than normal.

Open     High      Low     Close     Volume___
16.210 16.566 16.100 16.390 17,200
Technical Outlook 
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period     50-period     200-period
Close: 16.40 15.39 15.14
Volatility: 18 19 18
Volume: 1,720 344 86

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

PREC.M.XAG= is currently 8.2% above its 200-period moving average and is in an upward trend. Volatility is high as compared to the average volatility over the last 10 periods. Our volume indicators reflect very strong flows of volume into XAG= (bullish). Our trend forecasting oscillators are currently bullish on XAG= and have had this outlook for the last 43 periods.

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