My last post on Silver, March 18th followed a new 2016 high ($15.75) and a quick run up to my Target 1 ($16.10 ) later the same day. Target 2 was not achieved and the market retreated closing below $15.00 by month end with the 200 DMA proving a strong support area.
As the USD continues to weaken and commodities continue to strengthen Silver has rallied strongly during April and it appears almost inevitable that the May 2015 high $17.72 will be achieved, the next upside target would be 2015 high at $18.42.
Silver looks over extended on this short squeeze rally, particularly over the last two days. It has rallied over $2.00 since the beginning of the month which represents a very significant 14 percent move. My preference is to buy on a retrace to the $16.20 – $15.70 area with Target 1 at $17.72 and Target 2 $18.42.
Always trade with strict risk management and remember that your capital is the single most important financial aspect of your trading business.
Chief Market Analyst
If you wish to get the latest forex brokers news,you can visit our Top Forex Brokers official website:
About Janne Muta, HotForex’s Chief Market Analyst
Janne Muta is a seasoned industry professional with over 16 years experience in the global markets. Originally from Finland, Janne has worked for institutions in both Helsinki and London as an institutional fund manager, global market analyst and FX educator.
Traders and fund managers from around the world have benefited greatly from Janne’s technical analysis methods. The indicators and price action based trading models he has developed, have, after rigorous testing, proven to be invaluable in identifying high probability trades.
“My mission is to help you to become a confident and successful trader”
Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.