Silver broke higher and may test channel resistance.
Silver may test “channel resistance” which is the channel silver has been in since 2014 (July) and tested it in 2016, 2019 and may get tested once again. This level comes in at the 19.25 level. This is also the 161% extension of the recent triangle breakout as well (19.31). We should take into consideration that the daily RSI is nearing overbought and divergent. Also, the DSI (daily sentiment index) is registering at a high 89, which suggests bulls are at an extreme. That is why a test of this long term channel may be significant resistance if we reach it.
