Silver Faces Key Resistance: Channel Testing and Potential Downside

Resistance 3	Resistance 2	Resistance 1	Support 1	Support 2	Support 3
30.85	30.25	29.83	29.06	28.56	28.16

Since the uptrend that began on August 6th, the movement has slowed down as it encountered reactionary selling from the 30 level. It is now testing the second ascending trend line. As long as it does not break above the 29.83 – 30.25 channel, continued reactionary selling and a potential drop below the 29.06 – 28.56 channel can be expected. However, news related to geopolitical risks could lead to a rapid break of technical levels and cause more pronounced movements. The overall expectation is for the uptrend to continue along with gold.