Silver 1 OZ 999 NY (XAG=X) continues its bearish movement

Silver 1 OZ 999 NY (XAG=X) continues its bearish movement

Silver 1 OZ 999 NY (XAG=X) continues its bearish movement

On the long-term outlook, XAGUSD continues its bearish movement. The Bearish movement continues last week as predicted. There was a breakout at the lower trend line of the triangle and the Bears exerted more pressure last week and the price moved towards $14 level. The Bears are still fully in control of the Silver market. The price may reach the $14 level this week as long as the Bears maintain or increase their pressure.

Silver price continues trading below the 21 periods EMA and 50 periods EMA. As evidence of the increase in the Bears’ momentum; the distance between the metal and the two EMAs are increasing. The support level at $14 may be the target for the metal this week and there is a possibility for the price to bounce in case the Bulls defend the level. Nevertheless, the stochastic Oscillator period 14 is below $25 level (oversold level) with the signal line bending down to indicate sell signal.

Overall, the bias in prices is: Downwards.

The projected upper bound is: 15.03.

The projected lower bound is: 14.30.

The projected closing price is: 14.66.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 3 white candles and 6 black candles for a net of 3 black candles. During the past 50 bars, there have been 27 white candles and 21 black candles for a net of 6 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 31.9172. This is not an overbought or oversold reading. The last signal was a buy 30 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 38.24. 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 71 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 -106.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a buy 6 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 0 period(s) ago.

Rex Takasugi – TD Profile

PREC.M.XAG= closed down -0.078 at 14.672. Volume was 8,900% above average (trending) and Bollinger Bands were 45% narrower than normal.

Open High Low Close Volume___
14.774 14.781 14.630 14.672 6,858

Technical Outlook
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bearish

Moving Averages: 10-period 50-period 200-period
Close: 14.80 15.09 14.93
Volatility: 17 15 19
Volume: 686 137 34

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 1.7% below its 200-period moving average and is in an downward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect very strong flows of volume out of XAG= (bearish). Our trend forecasting oscillators are currently bearish on XAG= and have had this outlook for the last 51 periods.

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