Silver 1 OZ 999 NY (XAG=X) selling pressure

Silver 1 OZ 999 NY (XAG=X) selling pressure

Silver 1 OZ 999 NY (XAG=X) selling pressure

May silver futures bears have the overall near-term technical advantage. Prices are in a two-month-old downtrend on the daily bar chart. Silver bulls’ next upside price breakout objective is closing prices above solid technical resistance at the April high of $15.31 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 $15.00 and then at this week’s high of $15.04. Next support is seen at this week’s low of $14.70 and then at $14.50. 

Gold and silver prices are slightly weaker in early U.S. trading Thursday, following selling pressure this week that pushed both metals to four-month lows. A strong U.S. dollar remains bearish for the precious metals, but rallying crude oil prices are somewhat mitigating the greenback’s negative impact. June gold futures were last down $2.00 an ounce at $1,277.40. May Comex silver was last down $0.056 at $14.855 an ounce.

Overall, the bias in prices is: Downwards.

By the way, prices are vulnerable to a correction towards 15.23.

The projected upper bound is: 15.32.

The projected lower bound is: 14.53.

The projected closing price is: 14.92.

Candlesticks

A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 7 white candles and 2 black candles for a net of 5 white candles. During the past 50 bars, there have been 29 white candles and 20 black candles for a net of 9 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 48.4675. This is not an overbought or oversold reading. The last signal was a buy 18 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 41.99. 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 59 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 -65. This is not a topping or bottoming area. The last signal was a buy 1 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 buy 0 period(s) ago.

Rex Takasugi – TD Profile

PREC.M.XAG= closed up 0.017 at 14.937. Volume was 8,900% above average (trending) and Bollinger Bands were 52% narrower than normal.

Open High Low Close Volume___
14.900 15.006 14.810 14.937 14,029

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

Moving Averages: 10-period 50-period 200-period
Close: 14.95 15.30 14.96
Volatility: 9 16 19
Volume: 1,403 281 70

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 0.2% below its 200-period moving average and is in an downward trend. Volatility is extremely low when compared to the average volatility over the last 10 periods. There is a good possibility that there will be an increase in volatility along with sharp price fluctuations in the near future. Our volume indicators reflect very strong flows of volume into XAG= (bullish). Our trend forecasting oscillators are currently bearish on XAG= and have had this outlook for the last 39 periods.

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