Silver: A Short Trade against the Main Trend
The market gave us a clear sell signal. The price bounced from 17.50 resistance. RSI confirmed the price reversal. MACD is supporting a downside movement. Also, we have a bearish divergence, which gives us a trend reversal signal.
The daily timeframe looks bearish as well. RSI is in the overbought zone. There is a reversal candlestick pattern at the upper Bollinger Band.
How to trade? The price broke the local uptrend line, and it gave us an additional bearish signal. We could open sell trades following that breakout. It is also possible to wait for a better entry point, which will be a new reversal from 17.50USD. Stop orders must be placed above the resistance and the local swing high. Profit targets can be based on round numbers and SMAs. Risk per trade must be no more than 1-2% from the capital.
P.S. as I don't use like-bots and other solutions that show great "interest" to my posts, I will be grateful if you support my work by your LIKEs and comment. Of course, if you can do it. The feedback from REAL people is priceless!
Disclaimer!
This post does not provide financial advice. It is for educational purposes only! You can use the information from the post to make your own trading plan for the market. But you must do your own research and use it as the priority. Trading is risky, and it is not suitable for everyone. Only you can be responsible for your trading.
The daily timeframe looks bearish as well. RSI is in the overbought zone. There is a reversal candlestick pattern at the upper Bollinger Band.
How to trade? The price broke the local uptrend line, and it gave us an additional bearish signal. We could open sell trades following that breakout. It is also possible to wait for a better entry point, which will be a new reversal from 17.50USD. Stop orders must be placed above the resistance and the local swing high. Profit targets can be based on round numbers and SMAs. Risk per trade must be no more than 1-2% from the capital.
P.S. as I don't use like-bots and other solutions that show great "interest" to my posts, I will be grateful if you support my work by your LIKEs and comment. Of course, if you can do it. The feedback from REAL people is priceless!
Disclaimer!
This post does not provide financial advice. It is for educational purposes only! You can use the information from the post to make your own trading plan for the market. But you must do your own research and use it as the priority. Trading is risky, and it is not suitable for everyone. Only you can be responsible for your trading.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.