Silver Price Daily Forecast – Resistance At $27.75 In Sight

Silver Video 17.08.20.

Silver Tries To Settle Above $27.00

Silver continues its rebound as the U.S. dollar is losing ground against a broad basket of currencies while gold/silver ratio remains under pressure.

U.S. Dollar Index continues its attempts to settle below the 93 level, providing additional support to precious metals. In case this attempt is successful, U.S. Dollar Index will head towards the recent lows at 92.50 which would be bullish for silver.

Meanwhile, gold managed to stay above the 20 EMA at $1945 and attempts to gain more upside momentum. In case gold gets to the $2000 level, silver and other precious metals will get more support.

Gold/silver ratio faced resistance below the 75 level and is currently trying to settle below the 72 level. At this point, gold/silver ratio has good chances to test the recent lows near 69.50, pushing silver to new highs.

Silver has managed to quickly rebound after the major sell-off which took it from the recent highs at $29.85 to $23.50. The strength of the rebound indicates that those traders who have missed the initial rally have started to buy silver right after the sell-off.

The upside trend remains intact, and silver maintains good chances to test the recent highs at $29.85.

Technical Analysis

Silver is currently trying to settle above $27.00. The nearest resistance for silver is located at $27.75. Silver has already made several attempts to settle above this resistance level but these attempts were not successful.

In case silver manages to get above $27.75, it will gain more upside momentum and head towards the recent highs at $29.85. As I wrote before, silver will also face resistance below $29.85 but the exact level is not clear due to the speed of the recent moves which left huge gaps between major levels.

On the support side, the nearest support for silver is still located at $26.20, the high point of silver’s rally in July. Silver has recently tried to settle below this level but quickly returned back above $26.20.

In case silver moves below the support at $26.20, it will head to the major support level at the 20 EMA at $25.15.

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