News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Bearish
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Mixed
Gold
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Bearish
USD/JPY
Bullish
More View more
Real Time News
  • Forex Update: As of 16:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: -0.06% 🇯🇵JPY: -0.15% 🇬🇧GBP: -0.22% 🇨🇦CAD: -0.32% 🇦🇺AUD: -0.38% 🇪🇺EUR: -0.43% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/MZIiNOFxXu
  • Hey traders! Wrap up your week with a market update from @DailyFX Chief Strategist @JohnKicklighter 👇 https://t.co/DHufbBKbDu
  • Canadian PM Trudeau says Canada purchasing 20 million vaccine doses from Astrazeneca -BBG
  • Indices Update: As of 16:00, these are your best and worst performers based on the London trading schedule: US 500: 0.26% France 40: 0.03% Wall Street: 0.02% FTSE 100: -0.06% Germany 30: -0.06% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/jByk8LUAt6
  • UK Government Official says either outcome is possible on Brexit
  • UK Government Official says if gaps in fisheries and level playing field are bridged, the EU's more constructive attitude will need to be translated into more realistic positions in the days to come
  • Big headline that says the EU has informed the UK that it must commit to some key demands in next week's trade talks if there is progress before the October deadlines. That said, I don't think this is a particularly new refrain between those two. It's the clock that matters
  • RT @Tams707: #USDZAR tests trendline resistance. Potential breakout in play? https://www.dailyfx.com/forex/market_alert/2020/09/25/South-African-Rand-Price-Forecast-USDZAR-Breakout-Potential-Brewing-LiveEdu-TDC.html
  • $USDZAR set up for next week (or two)... Weekly chart - Falling wedge taking on the tone of a bull flag. Confluent resistance that's held highs on Thurs & Friday. If USD rally continues, if EM remains with a question mark - $USDZAR a pretty interesting . Well done, Tammy https://t.co/Xqr64bnXFH https://t.co/BkY75zHgeg
  • I've been putting more focus on EURUSD and AUDUSD recently given the progress they have made, but the Dollar strength makes for an interesting contrast to the Chinese Yuan's own multi-month rally. $USDCNH https://t.co/Xx7f0gtbsl
Silver Prices: Triangle Morphs into Larger Version of Itself, Wait for the Break

Silver Prices: Triangle Morphs into Larger Version of Itself, Wait for the Break

2016-09-16 11:37:00
Paul Robinson, Strategist
Share:

What’s inside:

  • Silver prices fake-out breakout from triangle formation leads to…
  • A broader pattern
  • Waiting for another confirmed break above or below the top or bottom-side of pattern

The title of yesterday’s commentary was, “Silver: Price Action Contraction Points to Explosive Move, Again”. And while the chart has been altered a bit since then, we still stand by the notion we will see a strong move soon as the symmetrical triangle we examined has enlarged, but still maintains its integrity as a ‘good looking’ pattern.

The development and eventual break of triangles can be tricky at times – silver currently an excellent example of the difficulties these patterns can present. The configuration we had chalked up had a fake-break to the upside into 19.20 resistance, resulting in no reason to execute (closing 1-hr reversal bar back inside of pattern), but the subsequent break lower did (closing 1-hour bar outside of pattern). The caveat was the break occurred into a trend-line extending back to the 8/28 low. Silver found support at this trend-line and bounced back up into the previously drawn triangle, but not all was lost. It kept alive an even broader pattern.

And so it is today, silver is quickly approaching the apex of the broadened triangle. The lower trend-line which makes up the pattern also consists of that trend-line which held as support yesterday; this makes for a less likely chance of seeing another fake-out breakout should we see resolution to the downside. Key word is should. It could at this juncture end up breaking out to the upside as it did back at the begining of the month. So, as per usual, we will wait for another confirmed break of the pattern before taking action.

Silver Prices: Triangle Morphs into Larger Version of Itself, Wait for the Break

The measured move is still the same as it was yesterday as the height of the pattern has not changed, roughly 55 cents above or below the top or bottom-side trend-line. A breakdown would bring the 8/28 low at 18.37 into the discussion. A break to the upside will again quickly find silver up against that 19.20 level, so it will make momentum perhaps a bit more sluggish until it can hurdle that important level towards a measured move target in the 19.50s.

Hope is not a good strategy, but here’s to hoping anyways that we see a clean break one way or another.

Follow trader sentiment in real-time via the DailyFX SSI indicator.

---Written by Paul Robinson, Market Analyst

You can follow Paul on Twitter at @PaulRobinonFX.

If you would like to receive articles directly into your inbox, sign up here.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES