Silver Price Daily Forecast – Silver Rallies Despite Rising Treasury Yields
Silver Gains Ground At The Start Of The Week
Silver is moving towards the resistance level at $22.90 while the U.S. dollar is gaining ground against a broad basket of currencies.
The U.S. Dollar Index has recently made an attempt to settle above the resistance level at 93.40 but failed to develop sufficient upside momentum and pulled back. In case the U.S. Dollar Index manages to settle above the resistance at 93.40, it will gain additional upside momentum and head towards the next resistance at 93.75 which will be bearish for silver and gold price today.
However, it should be noted that silver ignored both stronger dollar and rising Treasury yields today. The yield of 10-year Treasuries has recently made an attempt to settle above 1.50% but pulled back. A move above this level may present a significant problem for silver markets so traders should monitor the developments in U.S. government bond markets.
Gold continues to trade near the $1750 level. In case gold manages to settle above this level, it will head towards the next resistance at the 20 EMA at $1775 which will be bullish for silver.
Gold/silver ratio is currently trying to settle below the support at the 77 level. In case this attempt is successful, gold/silver ratio will move towards the 20 EMA at 76.55 which will be bullish for silver.
Silver managed to get above the resistance level at $22.60 and is trying to settle above the next resistance at $22.90. RSI is in the moderate territory, and there is plenty of room to gain additional upside momentum in case the right catalysts emerge.
In case silver settles above $22.90, it will head towards the resistance which is located at the 20 EMA at $23.20. A move above the 20 EMA will push silver towards the resistance at $23.50.
On the support side, the previous resistance at $22.60 will serve as the first support level for silver. If silver declines below this level, it will move towards the support at $22.30. A successful test of the support at $22.30 will open the way to the test of the next support at the recent lows at $22.10.
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