SILVER Intraday Technical Analysis 2012-02-29

Silver is currently testing the upper limit of its medium term bearish channel in 37.60 and seems to initiate a decline. However a break of these levels will release significant potential and initiate a bullish trend.
Technical indicators do not provide sell-signals but evolve in overbuy zone supporting the assumptions of a decline. Bollinger bands are much discarded to a result of the strong increase of these days. Stabilization is expected in the short term.
According to previous events, the market will show the bullish chance when silver has broken its resistance at 37.60 with the 1st objective of 38.20, then 38.50. A break through 37.40 will invalidate this scenario.