Spot Price Silver Chart - May 20th 2009

Spot Price Silver Chart - May 20th 2009

Spot price silver tracked spot gold prices ending the day 39 cents higher to settle at $14.180 per ounce on a wide spread up bar which opened the day below the 9 day moving average, but closed well above it giving us a bullish signal on the silver chart on the day.  The low of the day bounced neatly off the 14 day moving average, as did the previous day’s candle, once again adding weight to the bullish sentiment and with all three moving averages now pointing higher, provided we see a break above $14.50 price point, then we should see a move higher in due course once we have cleared this resistance area.  My trading suggestion for today is to look for small long positions on an intra day basis timing your entry points using the 15 and 30 minute charts, and adding to these positions should we break above the resistance level outlined above.

The short and the medium term trends are sideways while the long term trend is bullish.

Support:    $13.730 (yesterday’s low)                                   Resistance: $14.600 (high of 24/02/09)

Support:    $13.615 (low of 18/05/09)                                   Resistance: $14.380 (high of 13/05/09)

Support:    $13.410 (low of 20/03/09)                                   Resistance: $14.290 (yesterday’s high)