Ever since the watershed high near $50 was recorded in early May, bulls and bears have been duking it out within a $10 range whose peak (basis the September futures) was 42.295. The bearish case carries more weight, however, for one reason: buyers have so far failed to surpass the look-to-the-left peak at 42.330 notched on May 4. Just a nickel more of upside on August 4 would have done the trick, but buyers instead showed timidity that has weighed on Silver since. If and when they get past that peak — and it looks like a coin toss at the moment, technically speaking — it will be sunshine and lollipops once more for bulls, but until then they will face possible jeopardy down to 37.225, a Hidden Pivot midpoint, or even to its ‘d’ sibling at 34.590 if it’s breached for two consecutive days on a closing basis.
