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Silver Price Daily Forecast – Silver Gets A Boost From Lower Treasury Yields

By:
Vladimir Zernov

Silver received support near the 20 EMA and moved above the resistance at $27.75.

Silver

In this article:

Silver Video 09.06.21.

Silver Gained Upside Momentum

Silver is currently trying to settle above the resistance at $27.75 while the U.S. dollar is losing ground against a broad basket of currencies.

The U.S. Dollar Index has recently managed to get below the support at 90 and is moving towards the next support level at 89.75. The yield of 10-year Treasuries is currently trying to settle below 1.48% which puts pressure on the American currency. This is an interesting development ahead of the release of U.S. inflation data on Thursday.

Previously, markets were worried about rising inflation, but it looks that such worries have evaporated in recent trading sessions as Treasury yields gained strong downside momentum. If this trend continues, the U.S. Dollar Index will settle below the support at 89.75 which will be bullish for silver and gold price today.

Meanwhile, gold attempts to get to the test of the resistance at the $1900 level. If gold manages to settle above this level, it will move towards recent highs at $1915 which will be bullish for silver.

Gold/silver ratio is testing the support level at the 50 EMA at 67.90. This support level has already been tested many times in recent trading sessions and proved its strength. In case gold/silver ratio manages to settle below the 50 EMA, it will gain downside momentum which will be bullish for silver.

Technical Analysis

silver june 9 2021

 

Silver failed to settle below the 20 EMA at $27.65 and moved back above the resistance at $27.75. If silver settles above this level, it will have a chance to get to the test of the next resistance level which is located at $28.30.

A successful test of the resistance at $28.30 will open the way to the test of the next resistance at $28.90.

On the support side, a move below the 20 EMA at $27.65 will open the way to another test of the support at $27.50. If silver declines below this level, it will head towards the next support at $27.00.

A move below $27.00 will push silver towards the support at $26.65. In case silver manages to settle below this level, it will head towards the next support at $26.30.

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

About the Author

Vladimir is an independent trader and analyst with over 10 years of experience in the financial markets. He is a specialist in stocks, futures, Forex, indices, and commodities areas using long-term positional trading and swing trading.

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