After setting the bottom of the previous downward trend around 14.28 USD, the silver prices started to strengthen dynamically. As can be seen in the 4-hour chart below, the price has gone up in an upward trend, where lows and highs are set at higher and higher levels.
The high of the short term upward trend is close to 15.54, and after it was established, the quotes went into a corrective mode, which may provide an opportunity to take a short term long position.
The price is getting closer and closer to the confluence zone, where the upward trend line running from this year’s minima coincides with the horizontal level of 15.07 USD. A positive test of this area could lead to consider a long position in line with the current momentum.
On the other hand, if the support area is successfully broken, the sellers would open their way to another defence zone at around 14.63 USD.
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