With the COVID-19 having slowed down manufacturing activities worldwide, demand for silver is down.
Currently, prices are moving higher after last week’s massive sell-off. The metal is about to test the descending resistance (dotted blue trendline) and even propel to fresh highs upon a successful breakout.
Price carries the potential to test the $16.20-40 region. A further break higher would expose the mid to higher $18.00 levels (black descending trendline).
The 4-chart below shows the current price action.
Contrary to the daily chart, we have a smaller channel here with the top coming just under the $16.00 area. The 4-hour support lies near the 14.50 area.