Silver Price Daily Forecast – Silver Is Under Pressure As Gold Moves Below $1800

Silver Video 27.11.20.

Silver Shows Weakness

Silver continues its downside move and is trying to settle below the support at $22.60 while the U.S. dollar is losing ground against a broad basket of currencies.

The American currency remains under pressure but the weakness of the U.S. dollar does not provide support to silver and gold price today. The U.S Dollar Index is moving towards the nearest support level at 91.75.  A move below this level will open the way towards the 91 level. If the U.S. Dollar Index heads towards 91, silver may get some support. Weaker dollar is bullish for precious metals as it makes them cheaper for buyers who have other currencies.

Gold managed to get below the support at $1800 and is moving towards the next support level at $1750. This is a very disappointing development for gold bulls. If gold gets to the test of the support at $1750, silver will find itself under significant pressure.

Meanwhile, gold/silver ratio managed to get above the nearest resistance level at the 50 EMA at 77.90 and is trying to settle above the 79 level. If this attempt is successful, gold/silver ratio will move towards the 80 level which will be bearish for silver.

Technical Analysis

Silver managed to get below the support at $22.90 and is trying to settle below the next support level at $22.60. RSI remains in the moderate territory so there is plenty of room to develop additional downside momentum.

If silver settles below the support at $22.60, it will get to another test of the next support level at $22.40. A move below the support at $22.40 will open the way to the next support at September lows at $21.65. There are no important levels between $22.40 and $21.65 so this move may be fast.

On the upside, silver needs to stay above $22.60 to have a chance to develop upside momentum. The nearest resistance level for silver is located at $22.90. If silver manages to settle above this level, it will head towards the next resistance at $23.30.

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