Bull Hammer shows failed sale
If the day ends with a Bullish Hamer, a breakout above the high high of 31.68 will be a sign in force and it must be followed by a progress above above the high of 31.74 last week. The high with -resistance around the 50% retracement level at 31.81 and an Uptrend line that previously indicated the support for the rising trend. That is why a bullish breakout above High last week must quickly exceed the level of 50%. And the trend line can continue to mark the potential resistance, because it is at an angle.
The next higher goal is 32.53
Nevertheless, above 50% Retracement, the 61.8% Fibonacci retracement goal is 32.53. That goal can be viewed together with an earlier interim swing high at 32.33. Further on, the 78.6% retracement at 33.56 is also a target. Note that it coincides with the area around a rising channel line. Last year there were two failed attempts to break out above the line. The first was in May and the second was in October.
Weekly and monthly long -term outbreak
Keep in mind that a breakout above 31.74 activates a weekly outbreak and therefore a bull trend in a larger time frame than the daily graph. Moreover, it will also cause a monthly outbreak, since the month of January has just been completed. The trading range for January was within reach from November, therefore an in -house month completed January.
There are two other indications about the weekly interest. Firstly, the recent Swing Laag successfully tested support around 50 weeks in the end of the December. Furthermore, Silver recovered the 20-week ma last week after it had been dynamic resistance for about six weeks.
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