Spot Silver Price Chart - Silver Prices Daily Chart 10th July 2009

Spot Silver Price Chart - Silver Prices Daily Chart 10th July 2009

Spot silver prices were boosted both by a small rebound in the price of gold and minor bargain hunting once silver began trading below the significant $13.00 per ounce.  Overall spot silver ended the day up 2 cents to close at $12.850 per ounce.   Technically the daily silver chart still has a strongly bearish tone with all three moving averages now weighing heavily on the price of silver and indeed this downwards pressure has increased this morning with silver trading lower at $12.66.  The short term target for this current downwards trend is the psychological level immediately above $12.00 per ounce and should the current congestion between this morning’s price and this level be breached then we may even see a deeper move to re-test the support level at $11.80 per ounce with a further drop possible from here.   Given the extent of the consolidation that silver prices are now driving through very quickly it will take a considerable degree of momentum and stopping volume to reverse the current downwards trend in order to break back higher to reclaim the lost ground.    Any short term up move should now be considered as a selling opportunity to open further short positions as the fall in silver prices continues.

The short term trend is bearish, the medium term trend is sideways while the long term trend is bullish.

Support:    $12.750 (yesterday’s low)                                   Resistance: $13.380 (high of 07/07/09)

Support:    $12.675 (low of 24/04/09)                                   Resistance: $13.150 (high of 08/07/09)

Support:    $12.550 (low of 14/04/09)                                   Resistance: $12.980 (yesterday’s high)