SILVER Weekly Report 04.06.2012 to 08.06.2012

Commodities Weekly Technical Report


04.06.2012 to 08.06.2012
 
MCX Silver July as seen in the weekly chart above has opened at 54,533 levels, initially made a high of 54,885 levels and


then fell sharply lower, but found very good support at 52813 levels. Later prices rallied sharply towards 54,682 levels and

finally closed higher from the previous weeks closing levels.

For the next week we expect Silver prices to find support at 54,100-54,000 levels. Trading consistently below 54,000 levels

would lead towards the Strong Support at 53,300-53,200 levels. Multiple closing below 53,200 levels would indicate that a

short term top has been posted and thereby would open the door for a new leg down initially towards 52,300 and then

finally towards 51,300 levels.

Resistance is now observed at 55,300-55,400 levels. Trading consistently above 55,400 levels would further extend the

current rally initially towards 56,140 levels and then finally towards 57,800 levels.

MCX / Spot Silver Trading levels for the week (04.06.12 to 08.06.12)

Trend: Up

S1-54,100 / $ 28.14 R1-55,300 / $ 29.10

S2-53,200 / $ 27.45 R2-56,140 / $ 29.74

Recommendation: Buy MCX Silver July between 54100-54000, SL-53190, Target -55400/56050