On Friday, silver prices decreased by more than 2%, making prices negative for the week. However, more than half of the 6.38% gain from the previous week is still intact, and the monthly performance is still in the green. Over the past year, silver has formed a Falling Wedge pattern, but a short-term breakout is doubtful because wedge resistance is still about 6% above current levels.
Prices were restrained from Wednesday through Friday by the 23.6% Fibonacci retracement and the 100-day Simple Moving Average. A retracement to the 18 level, where prices found support the previous week, is anticipated. On the daily timescale, the RSI crossed below its midway, signaling a slowdown in the rising trend. A surprise to the upside would focus attention on wedge resistance.
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