Silver Price Daily Forecast – Silver Stays Weak Ahead Of The Weekend

Silver ETF Remains Under Pressure

Silver continues its attempts to settle below the support at $22.10 while U.S. dollar is losing ground against a broad basket of currencies. Meanwhile, iShares Silver Trust is trying to settle below $20.50.

The U.S. Dollar Index gained downside momentum after Non Farm Payrolls report indicated that U.S. economy added 199,000 jobs in December compared to analyst consensus of 400,000. The U.S. Dollar Index has recently managed to get below the support level at 96 and is moving towards the next support level at 95.75.  A move below this level will push the U.S. Dollar Index towards the 50 EMA at 95.65 which will be bullish for silver and gold price today.

Gold continues to trade below the $1800 level while SPDR Gold Trust is trying to move back below $167.00. If gold declines below $1785, it will head towards the support level at $1775 which will be bearish for silver.

Gold/silver ratio continues its attempts to settle above the 81 level. A successful test of this level will push gold/silver ratio towards 82 which will be bearish for silver.

Technical Analysis

Silver is testing the support level at $22.10. If this test is successful, silver will head towards the next support at $21.90. RSI remains in the moderate territory, and there is enough room to gain additional downside momentum.

In case silver manages to settle below the support at $21.90, it will head towards the next support level which is located at $21.50. A move below this level will open the way to the test of the support at $21.30.

On the upside, silver needs to get above $22.30 to have a chance to develop upside momentum in the near term. The next resistance level for silver is located at $22.60.

If silver settles above $22.60, it will move towards the 20 EMA which is located near $22.75. A successful test of the resistance at the 20 EMA will push silver towards the next resistance level at $22.90.

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