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• RES 4: $43.272 - 2.500 proj of the Jul 31 - Aug 14 - 20 price swing
• RES 3: $43.000 - Round number resistance
• RES 2: $42.974 - 2.382 proj of the Jul 31 - Aug 14 - 20 price swing
• RES 1: $42.776 - Intraday high       
• PRICE: $42.712 @ 8:10 BST Sep 16
• SUP 1: $40.432 - 20-day EMA 
• SUP 2: $38.899 - 50-day EMA
• SUP 3: $36.965 - Low Aug 20  
• SUP 4: $36.216 - Low Jul 31 and a key support

Trend signals in Silver remain bullish. The metal traded higher Friday and this delivered a fresh cycle high. The extension higher this week confirms a resumption of the uptrend and maintains the price sequence of higher highs and higher lows. Moving average studies are in a bull-mode position, reinforcing current trend conditions. Sights are on $42.974 next, a Fibonacci projection. Initial support to watch is $40.432, the 20-day EMA.

• The BTP seems to be leading the small few ticks gain, the contract has been bought in 2k, and the lower volumes help move the needle on lower order size.
• Nonetheless, the BTP/Bund spread is looking at breaking through the 76.74bps level, this was the August low and the lowest printed level since 26/03/10.
• As noted back in July, a break below the 75bps level will highlight 70bps next, but more importantly, the next big support resides at 65.37bps, the 2009 low.

• RES 4: 1.4019 38.2% retracement of the Feb 3 - Jun 16 bear leg 
• RES 3: 1.3925 High Aug 22 and the bull trigger
• RES 2: 1.3890 High Sep 11
• RES 1: 1.3810 20-day EMA 
• PRICE: 1.3764 @ 08:05 BST Sep 16
• SUP 1: 1.3760/27 Low Sep 5 / Low Aug 29 and a bear trigger  
• SUP 2: 1.3709 61.8% retracement of the Jul 23 - Aug 22 bull cycle
• SUP 3: 1.3658 76.4% retracement of the Jul 23 - Aug 22 bull cycle 
• SUP 4: 1.3637 Low Jul 25  

A sharp sell-off in USDCAD on Monday resulted in a break of the 20-and-50-day EMAs. This undermines a recent bullish theme and a continuation lower would expose key short-term support at 1.3727, the Aug 27 low. A break of this level would strengthen a bearish threat. For bulls, resistance levels to watch are; 1.3890, the Sep 11 high, and 1.3925, the Aug 22 high and bull trigger.