Silver 1 OZ 999 NY (XAG=X) prices press lower searching for a temporary bottom
Gold and silver prices are near steady in early-afternoon U.S. trading Tuesday. Gold prices hit a three-week low overnight, while silver fell to a three-month low. A higher U.S. dollar index that is closing in on its for-the-move high scored in March continues to limit buying interest in the precious metals markets. June gold futures were last up $0.70 an ounce at $1,294.90. May Comex silver was last down $0.054 at $15.05 an ounce.
May silver futures prices closed nearer the session high and hit a three-month low early on today. The silver bears have the slight overall near-term technical advantage. A five-week-old downtrend has been re-established on the daily bar chart. Silver bulls’ next upside price breakout objective is closing prices above solid technical resistance at the March high of $15.65 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at $14.50. First resistance is seen at this week’s high of $15.19 and then at $15.315. Next support is seen at today’s low of $14.905 and then at $14.75.
Overall, the bias in prices is: Downwards.
By the way, prices are vulnerable to a correction towards 15.35.
The projected upper bound is: 15.52.
The projected lower bound is: 14.64.
The projected closing price is: 15.08.
A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 5 white candles and 5 black candles. During the past 50 bars, there have been 28 white candles and 21 black candles for a net of 7 white candles.
A long lower shadow occurred. This is typically a bullish signal (particularly when it occurs near a low price level, at a support level, or when the security is oversold).
A spinning top occurred (a spinning top is a candle with a small real body). Spinning tops identify a session in which there is little price action (as defined by the difference between the open and the close). During a rally or near new highs, a spinning top can be a sign that prices are losing momentum and the bulls may be in trouble.
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.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 29.8731. This is not an overbought or oversold reading. The last signal was a buy 1 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 40.70. 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 42 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 -132.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a sell 5 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 3 period(s) ago.
Rex Takasugi – TD Profile
PREC.M.XAG= closed down -0.019 at 15.086. Volume was 8,900% above average (trending) and Bollinger Bands were 32% narrower than normal.
Open High Low Close Volume___
15.070 15.116 14.900 15.086 11,517
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 15.29 15.54 15.04
Volatility: 15 18 19
Volume: 1,152 230 58
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.
PREC.M.XAG= is currently 0.3% above its 200-period moving average and is in an downward trend. Volatility is low 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 22 periods.