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The March Silver contract has fired 2 Day ROC Sell, 90-10 Low Continuation & Reversal, High Breakout Continuation Setup, and Momentum Pinball Buy signals for today's trading. The 2 Day ROC Sell signal implies that today's principal trade direction should be to the downside. The 90-10 Low Continuation & Reversal signal tells us to look for morning follow through on the weak close, but to expect a likely reversal once the initial move has bottomed. The High Breakout Continuation Setup signal implies significant upside IF yesterday's high happens to be taken out. The Momentum Pinball Buy signal suggests that we'd want to consider longs if price is strong enough to break the first hour high. Cycle Indicators (chart at right) are mixed, but the more immediate trend is to lower prices. Odds favor continued downside in today's early trading. Look for an opportunity to sell the break of yesterday's 32.280 low, or even earlier if price demonstrates weakness below the 32.720 level of the Daily Pivot. But stand prepared to exit or even reverse if we get appropriate price reversal patterns and/or Oscillator Divergence near important support levels. Our Normal Low Range Projection level 31.735 or the Extended Low Range Projection level of 31.260 would be likely areas for such a reversal to take place.
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