Silver bullish flag continuation pattern formingThe Silver (XAGUSD) price action sentiment appears bullish, supported by the longer-term prevailing uptrend. The price action creates a sequence of higher highs and higher lows. The recent consolidation appears to be forming a bullish flag continuation pattern.
The key trading level is at 3171, which is the current swing low. A corrective pullback from the current levels and a bullish bounce back from the 3171 level could target the upside resistance at 3274 followed by the 3308 and 3340 levels over the longer timeframe.
Alternatively, a confirmed loss of 3171 support and a daily close below that level would negate the bullish outlook opening the way for a further retracement and a retest of 3125 support level followed by 3076.
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