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Bearish Engulfing Candle Weighs

SILVER TECHS
  • RES 4: $30.720 - 50% retracement of the 2011 - 2020 downtrend
  • RES 3: $29.859 - High Aug 7 and the bull trigger
  • RES 2: $29.272 - High Aug 11
  • RES 1: $27.733 - High Aug 14
  • PRICE: $26.965 @ 08:02 BST Aug 17
  • SUP 1: $25.295 - Low Aug 13
  • SUP 2: $23.448 - Low Aug 12 and key support
  • SUP 3: $22.900 - 38.2% retracement of the Mar - Aug rally
  • SUP 4: $22.317 - Low Jul 28

Silver continues to claw back sizeable losses seen on Aug 11. Despite recent gains the metal remains vulnerable with a band of strong resistance evident up to $29.272, Aug 11 high. Sharp losses on this day have highlighted a bearish candle pattern known as an engulfing line that signals a reversal and scope for a deeper sell-off. Bulls would need to clear $29.272 to offset the bearish risk. The bear trigger lies at $23.448, Aug 12 low.

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