Silver Intraday: Downside Pressure Remains

Spot silver ended 6.6% lower last week, posting the first weekly decline since June...

Downtrend 4

Spot silver ended 6.6% lower last week, posting the first weekly decline since June. There are more signs of profit taking actions, as the Commodities Futures Trading Commission (CFTC) reported that money managers' net long position of silver dropped 27.2% on week as of August 11, marking a third straight week of decline.


From a technical point of view, spot silver remains on the downside despite a modest rebound. It has retreated after reaching the 61.8% Fibonacci retracement resistance. The level at $27.85 might be considered as the nearest intraday resistance, with prices likely to test 1st and 2nd support at $25.10 and $23.40 respectively. In an alternative scenario, a break above $27.85 would trigger a further rebound to $28.55.

Source: TradingView, Gain Capital

More from Silver

From time to time, GAIN Capital Australia Pty Ltd (“we”, “our”) website may contain links to other sites and/or resources provided by third parties. These links and/or resources are provided for your information only and we have no control over the contents of those materials, and in no way endorse their content. Any analysis, opinion, commentary or research-based material on our website is for information and educational purposes only and is not, in any circumstances, intended to be an offer, recommendation or solicitation to buy or sell. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. No representation or warranty is made, express or implied, that the materials on our website are complete or accurate. We are not under any obligation to update any such material.

As such, we (and/or our associated companies) will not be responsible or liable for any loss or damage incurred by you or any third party arising out of, or in connection with, any use of the information on our website (other than with regards to any duty or liability that we are unable to limit or exclude by law or under the applicable regulatory system) and any such liability is hereby expressly disclaimed.