Silver is close to TL system resistance and 61.8%

Silver

Overview (DXY)

The US Dollar (DXY) traded to the highest level in 237 months in July before taking a corrective move to the downside. This coincided with a base being put in on Silver at 18.15.

There are three downside barriers in Silver. The TL system highlights 105.00 and 104.70 as support, while the completion of an AB leg, in a large cypher BAT formation, is located at 104.91.

Silver daily chart

We can clearly see 5-waves to the downside. Elliott Wave enthusiast will see this as the completion of a bearish count. This would suggest that the next wave higher is the complex correction consisting of five and three wave counts.

TL system highlights resistance at 20.83

Silver eight-hour chart

We can see a 5-wave count to the upside. The TL system highlights resistance at 20.83. A 61.8% Fibonacci resistance level is located at 20.83 (from 22.51-18.11).

Conclusion

I am looking for limited upside, selling at 20.83, for a move lower in the BC leg towards 18.50.