XAG/USD Forex Signal - 14 August 2019

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Silver: Retreat from 18-month high near $17.50

Yesterday’s signals were not triggered, as there was no bullish price action at $17.23.

Today’s XAG/USD Signals

Risk 0.75%.

Trades may only be entered from 8am New York time Wednesday until 5pm Tokyo time Thursday.

Short Trade Ideas

  • Short entry following bearish price action on the H1 time frame immediately upon the next touch of $17.23 or $17.69.

  • Place the stop loss 1 pip above the local swing high.

  • Move the stop loss to break even once the trade is 10 cents in profit.

  • Take off 50% of the position as profit when the trade is 10 cents in profit and leave the remainder of the position to run.

Long Trade Idea

  • Long entry following bullish price action on the H1 time frame immediately upon the next touch of $16.55.

  • Place the stop loss 1 pip above the local swing high.

  • Move the stop loss to break even once the trade is 20 pips in profit.

  • Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to run.

The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a pin bar, a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the price action that occurs at the given levels.

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XAG/USD Analysis

I took a bullish bias on Silver yesterday as the price was rising strongly and making new 18-month high prices, while Gold was also making new multi-year highs.

Unfortunately this did not work out so well as these rises were being driven by poor risk sentiment in the markets, but as the U.S. announced a delay in imposing tariffs on Chinese imports, risk sentiment recovered sharply very quickly, sending the price here shooting down all the way to $16.50 where it bounced.

Despite that strong fall, Silver is bouncing back now, and would look very bullish again if it can get established above the resistance at $17.23 which looks likely to be today’s pivotal point. I would take a bullish bias again today if it does so.XAGUSDConcerning the USD, there is nothing of high importance due today.

Adam is a Forex trader who has worked within financial markets for over 12 years, including 6 years with Merrill Lynch. He is certified in Fund Management and Investment Management by the U.K. Chartered Institute for Securities & Investment.
Learn more from Adam in his free lessons at FX Academy.