Silver prices at MCX are trading with a bear rally around 40200-40800 levels. Short rallies on gold didn’t favoured silver prices. According to the experts, Bernanke keep gold safe; but not silver.
The commodity has failed at 41900 levels and rallied to 40962 levels. It witnessed another sell off at these levels and crashed to 40200 levels.
Silver is following a triangle pattern, breaking these levels may witness steady decline to 38800 levels or it may rally towards 43,000 levels. Traders are advised to stay on sideline and observe short term variation in silver.
The commodity should remain around 40,500-40,900 levels or else it may decline to 38,800 levels. It may witness strong support at 40,000 levels.
On charts, silver is showing bearish phenomenon. MACD is negative and P-ROC (Rate of Change) is at bearish territory. RSI is in sideways.
Short covering at 40,000 levels may witness slight uptrend in the near term. The overall trend remains bearish for MCX silver.
MCX Silver September short term: Bearish
Support: 40000, 38800
Resistance: 41400, 41600
Turn around levels: 39200-38800-43000