 Good morning and welcome to the chart of the week video with me. David Madden today's date is Thursday the 16th of July 2020 and the time has just gone 10 15 British summer time and this week's chart of the week is silver As we can see here over the last few weeks. We've had a nice positive run in silver. It's been rallying for the past month yesterday went on to hit us hit its Hit a fresh 10-month high so it's clear that the kind of wider trend is positive But we could be in for a bit of a pullback in the silver market. Why do I think that? Well, excuse me markets don't move in straight lines So a bit of a pullback wouldn't be out of the blow on top of that The the way things are shaping up on today's daily candle We could be in we could be in for a daily bearish engulfing and for those of you haven't heard that term before Let's just take a quick look at a textbook example This here is a lovely example of a bearish engulfing. You have the market moving into the upside And notice how the body of this candle here in question Completely engulfs the body of the previous day's candle What essentially happens there is that you have the upward trend the market goes on to the hits the hits to the the new high It quickly reverses within that time period As you can see here because the market clearly opened up here and closed down here So kind of reversed on itself and then what you see what you want to see is the confirmation It's not just good enough to say oh the body of this candle here engulfs the body of that candle there What you want to see to be more confident of the actual reversal is that in the following candle You want to see another negative candle as well? So I think we could potentially see that on silver here. So we're already seeing that today's Candle that the body of threes candle is already engulfing the body of yesterday's candle So it could be it we could be in for a daily bearish engulfing and like I said if that is to be the case what you also want to see is The move on tomorrow's cancer I do like to see another movie the downside and tomorrow's candle now if that turns out to be the case Where could we head back to potentially we could head back to one towards this zone here in the 18 spot 80 But keep in mind Silver said a nice run the last few months. So I keep in mind how far we traveled from the lows of mid-June So even if you even if you move below 18 spot 80, we could even have a deeper correction or a deeper pullback We could even head back toward this zone here down 18 bucks 18 bucks we saw a fair bit consolidation in that in that area and past and if the metric has been important in the past It makes it more likely it'll be of importance in the future But let's not forget the wider upward trend silver has been in a solid upward trend for many months now Like I said yesterday it had a fresh 10 month high. So the bigger picture is positive. So if you do manage To kind of turn itself around and if you do manage to take out yesterday's high that will be that would signify That we're that the the overall positive trend is good It's likely to continue and sure we can continue on from yesterday's high We could be looking at targeting 19 spot 65 and if you go beyond that We could be targeting the kind of big psychological number of 20 bucks Now if you are going to be trading silver or quite frankly any Marcus today, please be mindful that we have an update from the European Central Bank The interest rate announcement will be a 1245 British summertime. The press conference will be a 13 30 British summertime We also have a raft of US economic indicators coming out at 13 30 as well So we could see some volatility being injected into the market on the back of that That's all from this week's video. Thank you for listening. Stay safe and have a good training week