On Friday, silver prices attempted for a second time to breach the critical October high of $16.38, but the price had problems establishing itself above this level.
The October high remains significant from a technical perspective, as a break here would expose the next major high, namely the May high of $17.80. We do note that the $17.80 high is 8.6% higher than the October high of $16.38. An interim resistance level beyond the October high is the June 2, 2015 high of $16.88.
The short-term trend remains bullish above the April 14 low of $15.92. The trend is bullish, as the price has been creating higher swing lows over the last few weeks and the April 14 low of $15.92 is greater than the prior swing low of $15.81 (formed on April 12).
Potential support levels below the April 14 low of $15.92 are the April 12 low of $15.81 and the March 31 high of $15.55.
There are no major market moving events on deck today.
However, a theme, which has been dominating the markets, is the steep decline in Crude oil prices. The lower prices occurred, as there exists no deal between major crude oil producers to freeze their output. This might play a role on the price of silver given that soft crude oil prices may affect risk-appetite worldwide,which in turn may affect the demand for haven assets such as silver.
Silver Price | FXCM: XAG/USD
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