June 21 , 2018
On the daily chart any can observe that previous week’s gain has converted in just one day’s loss on last Friday where a dark cloud candlestick along with bearish engulfing candlestick has been posted on the daily chart which is generating purely bearish signal. There is no chances for bulls to recover for the time being as metal is trading and sustaining below the moving average lines.
Earlier the momentum was with bulls but they could not maintain theirself and fliped to south side to interest rate hike in the last week and it was highest daily loss of the year as it slipped almost 0.75 cents in a day, however bears could not stop they even slipped further and presently it is hovering at 16.26 level on the daily technical chart.
Odds are in favor of bears and intraday bias remains bearish on the metal as long as 16.50 level remains intact. The way beears are reacting it seems like they are not in a mood to stop early, they are approaching the 16 level atleast, however some profit booking can’t be ignored but that should be taken as selling opportunity for those who has missed earlier.
By long term analysis we can predict that metal is still in the consolidation phase so the breakout on either side will give us new buy or sell signal for the time investors are suggested that they should go for short. A bearish crossover on MACD indicator is supporting the bears and RSI is also favoring the bears from negative territory. The 16.10 is immediate support level followed by 15.50 level whereas 16.90 level is immediate resistance level followed by 17.20.