The silver price needs to overcome this intraday resistance
NEW YORK (Mar 22) The silver price has dropped in the European session despite starting the day higher. Overnight the dollar had been trading firmer and most commodities had been under pressure. Since hitting the high of $27.49/oz on 8th March the price has consolidated close to the current level but now a bearish chart pattern is forming.
Looking closer at the 4-hour chart below there is a clear head and shoulders pattern. The confirmation break would come if the green support area at $24.50/oz is taken out. Interestingly, the right shoulder resistance matches the trendline retest which gives it slightly more significance.
On the topside, the level to break is the should resistance high marked by the purple horizontal line at $25.47/oz. Ahead of that then the aforementioned high is the next target for the bulls.
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On the downside, the green support is the key one. below that the next major support area is the high volume node on the volume profile indicator at $23.83/oz.
KITCO
