Silver Price Daily Forecast – Resistance At $24.65 In Sight

Silver Video 06.10.20.

Silver Faced Resistance At $24.50 And Failed To Test The Resistance At The 50 EMA

Silver made an attempt to get to the test of the nearest resistance level at the 50 EMA at $24.65 but was stopped at $24.50. Meanwhile, the U.S. dollar is mostly flat against a broad basket of currencies after yesterday’s downside move.

The U.S. Dollar Index moved below 93.50 but did not manage to gain more downside momentum which would have been bullish for precious metals. If the U.S. Dollar Index manages to settle below the recent low at 93.34, silver will have a good chance to get to the test of the resistance at the 50 EMA.

Meanwhile, gold managed to get above the 20 EMA at $1910 and tries to continue its upside move. If gold moves towards the $1950 level, silver will get additional support.

Gold/silver ratio has once again failed to settle below the major support level at the 50 EMA at 78.40 and rebounded closer to the 79 level. If gold/silver ratio declines below the 50 EMA, it will gain additional downside momentum and head towards the 20 EMA at 77.50. This scenario will be bullish for silver.

At this point, near-term silver price dynamics will depend on the direction of the U.S. dollar so silver traders will remain focused on the moves of the American currency.

Technical Analysis

Silver continues its attempts to get to the test of the nearest resistance level at the 50 EMA at $24.65. The 20 EMA is located in the nearby, and this resistance level is set to be a significant obstacle on the way up for silver.

If silver manages to get above this resistance level, it will gain upside momentum and move towards the next resistance level at $25.85. In case silver gets above the resistance at $25.85, it will continue its upside move and get to the test of the next resistance level in the $26.20 – $26.30 area.

On the support side, the nearest support level is located at $23.30, and no material levels were formed between $23.30 and $24.50. A move below the support at $23.30 will signal that the current upside momentum has come to an end.

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