SLV rises to highest close since June 1st
iShares Silver Trust (SLV) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 4th day in a row, SLV finished the month 2.1% higher at 17.01 after gaining $0.36 (2.16%) today on high volume. Today's close at 17.01 marks the highest recorded closing price since June 1st. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Monday's high at 16.66, the ETF confirmed its breakout through the prior session high after trading up to $0.35 above it intraday.
Daily Candlestick Chart (SLV as at Jun 30, 2020):
Tuesday's trading range has been $0.36 (2.16%), that's slightly above the last trading month's daily average range of $0.31. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for SLV.
Four candlestick patterns are matching today's price action, the Bullish Closing Marubozu, the Bullish Marubozu and the White Candle which are known as bullish patterns and one bearish pattern, the Bearish Hikkake Pattern.
Prices are trading close to the key technical resistance level at 17.10 (R1).
Crossing above the upper Bollinger Band for the first time since May 20th, prices have shown unusually strong upward momentum in the short-term. This could either indicate a potential buying climax after which prices might head back down towards the mean of the Bollinger Bands at 16.49 or signal the beginning of a strong momentum breakout leading to even higher prices. The last time prices broke out above the upper Bollinger Band on May 14th, SLV gained 4.73% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
With prices trading close to this year's high at 17.69, upside momentum could speed up should the market be able to break out to new highs for the year. As prices are trading close to June's high at 17.10, upside momentum might accelerate should SLV mark new highs for the month.
Among the 12 market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Marubozu" stand out. Its common bullish interpretation has been confirmed for SLV. Out of 1 times, SLV closed higher 100.00% of the time on the next trading day after the market condition occurred.