FXEMPIRE
All
Ad
Advertisement
Advertisement
Vladimir Zernov
Add to Bookmarks

Silver Is Under Pressure

Silver has recently made an attempt to settle below the support level at $24.20 while the U.S. dollar moved higher against a broad basket of currencies.

The U.S. Dollar Index is currently testing the resistance level which is located at the 50 EMA at 92.40. In case silver manages to settle above this level, it will move towards the next resistance at the 20 EMA at 92.60 which will be bearish for silver and gold price today.

Advertisement
Know where Silver is headed? Take advantage now with 

Trading Derivatives carries a high level of risk to your capital and you should only trade with money you can afford to lose. Trading Derivatives may not be suitable for all investors, so please ensure that you fully understand the risks involved, and seek independent advice if necessary. A Product Disclosure Statement (PDS) can be obtained either from this website or on request from our offices and should be considered before entering into a transaction with us. Raw Spread accounts offer spreads from 0.0 pips with a commission charge of USD $3.50 per 100k traded. Standard account offer spreads from 1 pips with no additional commission charges. Spreads on CFD indices start at 0.4 points. The information on this site is not directed at residents in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

Meanwhile, gold managed to get to the test of the important support level at $1800. If gold settles below this level, it will head towards the next support at $1775 which will be bearish for silver.

Gold/silver ratio has recently tried to settle above the 20 EMA at 74.65 but lost momentum and declined towards the 74 level. In case gold/silver ratio gets to another test of the resistance at the 20 EMA, silver will find itself under more pressure.

It should be noted that the yield of 10-year Treasuries is currently trying to settle above August highs near 1.38% which is bearish for precious metals. In case Treasury yields gain additional upside momentum, silver will move lower.

Advertisement

Technical Analysis

Silver is currently trying to get below the support level which is located near the 20 EMA at $24.20. In case this attempt is successful, silver will move towards the next support at $24.00.

A move below the support level at $24.00 will open the way to the test of the support at $23.80. If silver manages to settle below $23.80, it will head towards the support at $23.50.

On the upside, the previous support level at $24.50 will serve as the first resistance level for silver. A successful test of the resistance at $24.50 will push silver towards the next resistance at the 50 EMA at $24.70. In case silver manages to settle above the 50 EMA at $24.70, it will continue its upside move and head towards the next resistance level at $25.00.

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

Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Trade With A Regulated Broker