Silver Price Daily Forecast – Silver Breaks Above The 50 EMA

Silver Video 13.11.20.

Silver Gains Upside Momentum

Silver has managed to get above the nearest resistance at the 50 EMA at $24.45 while the U.S. dollar is losing ground against a broad basket of currencies.

The U.S. Dollar Index is currently testing the nearest support level at 92.80. If the U.S. Dollar Index settles below this level, it will gain downside momentum and move towards the next support level at 92.60 which will be bullish for silver. Weaker dollar is a positive catalyst for precious metals as it makes them cheaper for buyers who have other currencies.

Gold is also moving higher on weaker dollar and is trying to get above the 20 EMA at $1895. The major resistance level for gold is located at the 50 EMA at $1900. If gold manages to settle above the resistance at $1900, it will head towards the next resistance at $1930 which will be bullish for silver and other precious metals.

Gold/silver ratio did not manage to get above the 20 EMA at 77.75 and gained downside momentum. Currently, gold/silver ratio is testing the support level at 76.50. If gold/silver ratio declines below this level, it will head towards the next support at 75.50 which will be bullish for silver.

The current setup looks favorable for silver but the situation may change quickly if the U.S. Dollar Index gains upside momentum and manages to settle above the 20 EMA at 93.10.

Technical Analysis

Silver moved above the 50 EMA and is trying to develop additional upside momentum. The next material resistance level for silver is located at $25.00.

If silver manages to settle above this resistance level, it will move towards the next resistance at October highs at $25.55. A move above October highs will lead to a test of the next resistance at $25.85.

On the support side, the previous resistance at the 50 EMA will likely serve as the first support level for silver. If silver declines below this level, it will move towards the support at $23.90 which has been tested in recent trading sessions. A move below this level will open the way to the test of the next support at $23.30.

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