Today we hit the 50MA on the daily chart and Silver Day traders are watching this area to see if buyers have enough commitment to head to the next area of resistance.
The consolidation zone occured from $34 to $35.50 and we broke through this area yesterday when silver buyers stepped in to move the market up.
We have first resistance at $38, on the 50MA and watching for a move up to $39 with maybe some consolidation. The next area of resistance is $42 then $44.
This target area could take a while, if we have price failure on this move up, then we could see more volatility and maybe a test of the bottom.
Remember, all stops are seen so Market Makers are watching for opportunities to take advantage of this.
I am posting last weeks charts.
Take a look at the areas we pointed out and compare them to where we are today.
Possibility of a lower high and another sell off?
We shall see.