Silver Price Daily Forecast – Test Of 50 EMA Is Unsuccessful As Treasury Yields Move Higher

Silver Video 18.03.21.

Silver Moves Lower On Rising Yields And Stronger Dollar

Silver made an attempt to settle above the resistance at the 50 EMA at $26.25 but lost momentum and declined back into the $25.85 – $26.25 range while the U.S. dollar gained ground against a broad basket of currencies.

The U.S. Dollar Index has recently managed to get above the resistance at 91.75 and is moving towards the next resistance level at 92. Treasury yields have surged to new highs and provided additional support to the American currency. In case the U.S. Dollar Index gets above the resistance at 92, it will head towards the next resistance at 92.25 which will be bearish for silver and gold price today.

Higher Treasury yields have also put pressure on gold which is currently testing the support level at $1720. In case gold manages to settle below this level, it will move towards the next support at the $1700 level which will be bearish for silver and other precious metals.

Gold/silver ratio remains stuck near the 20 EMA at 66.35. Gold/silver ratio made several attempts to get away from the 20 EMA level in recent trading sessions, but these attempts yielded no results. In case gold/silver ratio manages to settle below the 66 level, it will gain downside momentum and head towards the support at 65.50 which will be bullish for silver.

Technical Analysis

Silver remains stuck in the range between the support at $25.85 and the resistance at the 50 EMA at $26.25.

In today’s trading session, silver made an attempt to settle above the 50 EMA but faced resistance near $26.70 and pulled back into the previous trading range.

Interestingly, rising Treasury yields failed to put more pressure on silver, and the support at $25.85 remained strong.

At the same time, it should be noted that a move below this level will be a worrisome development for silver bulls as silver may quickly gain downside momentum and head towards the next support level at $25.55. If silver declines below the support at $25.55, it will head towards the support at $25.20.

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