Silver to see some consolidation after breaking above 2016 high at 21.17 – Commerzbank

Silver has surged the 2016 high at 21.17 and into six-year highs. Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, notes that the white metal is looking over-extended near-term and may see some consolidation.

More: Silver to outperform gold – Credit Suisse

Key quotes

“Silver has broken above the 2016 high at 21.17 and into six-year highs. The move looks over-stretched and we would allow for some near-term consolidation ahead of further gains.”

“Dips lower will ideally now use the 21.17 high as nearby support ahead of the 20.00 zone.” 

“Above 22.87, the recent high will see gains to the August 2013 high at 25.15. This guards the 2011 and 2012 lows at 2602/14.”