Silver 1 OZ 999 NY (XAG=X) investors paying attention to the US dollar

Silver 1 OZ 999 NY (XAG=X) investors paying attention to the US dollar

Silver 1 OZ 999 NY (XAG=X) investors paying attention to the US dollar

Silver markets have continued to fall during the trading session on Monday, reaching down towards the psychologically and structurally important $15 level. That’s an area that should continue to cause a bit of noise, so how we close it is going to be very crucial. If we can break down below the $14.90 level, then I think we continue to go much lower, perhaps reaching down towards the $14.50 level, possibly even the $14.00 level.

Pay attention to the US dollar, it is highly influential on what happens with silver, and as a result if it rallies quite often silver will get beaten up. Obviously, the exact opposite can be true as well, so pay attention to the US Dollar Index.

Overall, the bias in prices is: Downwards.

The projected upper bound is: 15.52.

The projected lower bound is: 14.65.

The projected closing price is: 15.09.

Candlesticks

A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 28 white candles and 21 black candles for a net of 7 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 7.1964. This is an oversold reading. However, a signal is not generated until the Oscillator crosses above 20 The last signal was a sell 8 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 32.81. 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 22 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 -170.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a sell 8 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 4 period(s) ago.

Rex Takasugi – TD Profile

PREC.M.XAG= closed up 0.004 at 15.079. Volume was 8,900% above average (trending) and Bollinger Bands were 20% wider than normal.

Open High Low Close Volume___
15.074 15.163 15.020 15.079 6,638

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

Moving Averages: 10-period 50-period 200-period
Close: 15.63 15.62 15.16
Volatility: 18 18 19
Volume: 664 133 33

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 0.6% below its 200-period moving average and is in an downward trend. Volatility is 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 2 periods.

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