• Silver has been oscillating in a range since mid May. 
• More recently it has breached the bottom of the range and looks marginally bearish. 
• A re-break of the $29.38 level would confirm more downside back inside familiar levels. 

Silver (XAG/USD) has been oscillating between the mid $32s and mid $29s from mid May. More recently, on June 4, Silver decisively broke below multi-year support at the $30.00 mark and fell to a low of $29.38. The break was not sustained, however, as Silver then promptly reversed, broke back up above the level and back into the mid $30s. 

Silver 4-hour Chart 

Silver’s tone is marginally bearish. A re-break below the 29.38 June low would provide confirmation of more downside, and probably reverse the trend to bearish in the short-term. 

In such a scenario the next target to the downside might be at around 28.59 (50-day SMA). 

It would require a move back above $32.51 (May 20 high) and the creation of a new high to reinvigorate the uptrend. Such a break might lead Silver to stretch up to the next target at $35.30 (October 2012 high).