Silver has been posting higher lows gradually, while forming a multi-day base which suggests accumulation of the precious metal, and a change in mentality regarding its value.
The current resistance is an options expiration line, which matches the most recurrent price during a previous area of congestion during the decline that lead to the explosive surge of activity we saw during the last day of November.
I expect a rally culminating around the 18th, which should take Silver to the 19 dollar mark approximately.
My reccomendation is: Buy silver as long as it doesn't retest 16.40, and sell half at 18.50-19.50. Then proceed to move the stop loss to break even for the duration of the trade, since it's possible that this initial bullishness is the prelude for a bigger rally that might continue during the first quarter of 2015. Since we are in the holiday season, we can also consider giving physical silver as a gift too ;)
Really strong support below price at the moment, if price doesn't get to the 8-9 dollar mark during Q1 2014, the uptrend will resume.