Silver Prices: Trapped In A Familiar Range
Date
1/21/2016 8:05:53 AM
(MENAFN- DailyFX) Silver prices are trapped in their familiar $13.61 to $14.40 range and there is little reason to trade unless specifically targeting this range.
With this in mind we reiterate yesterday’s outlook that range traders would use a rally to $14.25 to book profits on long positions bought near the $13.75 support level. Some range traders may even short near $14.25 with stops above $14.40. Caution is however warranted as currently the price of gold suggests that silver should be trading at $14.60. In other words silver may break its range. This estimation is based on a regression analysis using the last 6 months of trading data. On a break to $14.40 prices may reach the December 7 2015 high of $14.62. Momentum traders will wait for a break to the $13.61 to $14.40 range. In the afternoon U.S. Jobless Claims and Philadelphia Fed Index are on tap. Will these move silver prices? I doubt it. Learn What FXCM’s Most Successful Traders Do on a Consistent Basis sign up for our free guide here. Silver Prices | FXCM: XAG/USD Created with Marketscope/Trading Station II; prepared by Alejandro Zambrano --- Written by Alejandro Zambrano Market Analyst for DailyFX.com Contact and follow Alejandro on Twitter: AlexFX00 Struggling with Trading? Join a London Seminar Get Alejandro’s daily market update in your inbox please fill out this form DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.
Learn forex trading with a free practice account and trading charts from FXCM.
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.