March silver futures followed much the same pattern as gold futures yesterday, closing the session with a narrow spread down candle and ending at $31.71, having touched an intra day high of $31.92.
On the daily silver chart, silver futures are continuing to consolidate into a strong pennant pattern centred around the $31.70 per ounce level. This pattern is further reinforced by a series of isolated pivot highs and pivot lows which stretch between December 2012 and January 2013 with the most recent posted on 31 January.
With a strong platform of support now in place in the $30 per ounce level and with a series of higher lows on the daily candles, silver now appears to be preparing for a breakout to the upside. Should this occur (and the price action is highly suggestive) then the initial target is the resistance at $32.50 but thereafter silver will require sustained momentum to move back towards $34.50 or beyond.
3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads.
Which stock should you buy in your very next trade?
AI computing powers are changing the stock market. Investing.com's ProPicks AI includes 6 winning stock portfolios chosen by our advanced AI. In 2024 alone, ProPicks AI identified 2 stocks that surged over 150%, 4 additional stocks that leaped over 30%, and 3 more that climbed over 25%. Which stock will be the next to soar?
Unlock ProPicks AI