Silver Price Daily Forecast – Silver Continues To Test The Support At The 50 EMA

Silver Video 18.11.20.

Silver Attempts To Move Lower Amid Weak Demand For Safe Haven Assets

Silver continues its attempts to settle below the nearest support level at the 50 EMA as encouraging vaccine news put pressure on safe haven assets like precious metals.

Meanwhile, the U.S. dollar is losing ground against a broad basket of currencies. The U.S. Dollar Index has made an attempt to get to the test of the support level at 92.10 but received some support near 92.20 and rebounded closer to 92.35.

If the U.S. Dollar Index settles below 92.10, it will gain downside momentum and head towards the next support level at yearly lows at 91.75 which should provide some support to precious metals.

That said, there may be some pressure on silver and gold price today even if the U.S. dollar continues to lose ground as vaccine-related optimism looks strong.

Gold has once again attempted to test the support at $1860 but did not manage to move lower. In case gold declines below the support area at $1850 – $1860, it will move towards the next support at $1815 which will be bearish for silver and other precious metals.

Godl/silver ratio remains stuck between the nearest support level near 76.50 and the resistance at the 20 EMA at 77.45. If gold/silver ratio declines below 76.50, it will move towards November lows near 75.50 which will be bullish for silver.

Technical Analysis

The technical picture for silver remains stable since the beginning of this week. Silver is trading near the key support level at the 50 EMA at $24.45 and is trying to settle below this level.

If silver manages to settle below $24.45, it will gain downside momentum and quickly get to the test of the next support level at $23.90. A move below this level will push silver towards the support at $23.30.

On the upside, silver needs to get above the 50 EMA to have a chance to develop upside momentum. The next resistance level for silver is located at $25.00. If silver settles above $25.00, it will gain upside momentum and head towards the resistance at October highs at $25.55.

For a look at all of today’s economic events, check out our economic calendar.