Silver Is Testing the Support at 17.70

Yesterday Silver not only reached the support at 17.70 which coincides with (MA)89 on the daily time-frame, but it also briefly broke out below that level before retracing back up above it and forming a hammer candlestick on the same time-frame. Such a candlestick above an obvious support is usually a signal for a reversal, but for now the precious metal is still pushing to the downside and testing said support. Should the hammer candlestick prove to be a false signal and Silver breaks out below 17.70, next target is likely 17.30, which is the same (MA)89 indicator, but on the weekly time-frame. On the other hand, if it bounces off from the support, there will probably be a move to the upside towards 18.15 – 18.20.