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Silver (SI) Reclaims 61.8% Fib Retrace of Mar-Sep Slide

Silver (SI) Reclaims 61.8% Fib Retrace of Mar-Sep Slide

Posted December 21, 2022
Darren Chu
Tradable Patterns

Silver (SI) is consolidating yesterday’s massive 4.5% plus surge near a fresh December high.  Although any gains going into Xmas are likely to be modest, SI appears poised to continue extending the upchannel (on the daily chart) and Bull Flag (on the weekly chart) next week.  A weekly close above the May high and 61.8% Fib retrace of the March to September slide is likely and would all but complete the major bottom within the consolidation since August 2020.  Profittaking could be triggered today at 10am EST with the US’ CB consumer confidence data and Friday with the US’ core PCE price index.  The escalation in the Ukraine-Russia conflict deserves close monitoring.  Congratulations to paying subscribers who benefited from the Nov 2, 2022 analysis suggesting that SI was in the advanced stages of forming a major bottom.  The weekly and daily RSI, Stochastics and MACD are rallying or consolidating recent gains.  I am looking to enter long in the green zone (of the daily chart), targeting the red zone for Tuesday.  The amber/yellow zone is where I might place a stop if I was a swing trader (although in my personal account with which I seldom hold overnight I sometimes set my stops tighter).  Click here for analysis on GOLD, NATURAL GAS

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Source: Interactive Brokers TWS
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