XAGUSD (Silver) – Limited upside with the AB=CD target at $15.70
|Technical
Weekly: Remains contained within a bearish channel formation. The Ichimoku cloud has capped gains and a shooting star candle has been posted, negative for sentiment.
Daily: A bearish evening star has formed after a rejection from the previous swing high ($16.19). Selling has continued from the 61.8% Fibonacci retracement level of $16.00 (17.32-13.87). We are now trading inside the Ichimoku cloud and expect volatile price action.
Daily (2): A full AB=CD corrective formation would take the commodity to $15.70. Bespoke resistance is located at $15.60. Although the long-term picture is mixed, we look for at least a larger correction to the downside.
We look to sell at $15.60
Stop: $16.00
Targets:$14.90 and $13.85
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