Silver has come under pressure since Tuesday’s session, in the short-term timeframe. The price slipped below the 16.73 barrier and continues the strong bearish movement. As a side note, the precious metal has been trading within a descending triangle since July 2016.
In the short-term timeframe, technically, the bias is bearish. Momentum indicators are also endorsing the decline. The MACD oscillator entered the negative territory, while the RSI indicator is heading lower below the 50 level.
If price action remains below 16.73 (immediate resistance), there is scope to test the lower boundary of the triangle at 15.60. This is considered to be a strong resistance area which has been rejected a few times in the past.
If the aforementioned resistance fails to prevail, then the focus would shift to the upside towards the 17.70 barrier. If price breaches that level, it could increase the bullish move above the descending triangle and it could be on path towards the 18.20 level.
