Silver Price Daily Forecast – Test Of Support At $22.30
Silver Remains Under Strong Pressure
Silver is currently trying to settle below the support level at $22.30 while the U.S. dollar is gaining ground against a broad basket of currencies.
The U.S. Dollar Index is currently trying to get above the 93 level. A move above this level will open the way to the test of the resistance at 93.10 which will be bearish for silver and gold price today.
It should be noted that the yield of 10-year Treasuries has moved back to multi-week highs which is bearish for precious metals. In case the yield of 10-year Treasuries settles above 1.38%, it will head towards the resistance at 1.42%, which will put additional pressure on silver.
Meanwhile, gold is trying to settle below the support level at $1750. In case this attempt is successful, gold will move towards the next support at $1720 which will be bearish for silver.
Gold/silver ratio is testing the resistance at August highs near 77.65. If gold/silver ratio settles above this level, it will head towards the 78 level which will be bearish for silver.
Silver managed to settle below the support at $22.60 and is trying to get below the next support level at $22.30. RSI is close to the oversold territory but there is enough room to gain additional downside momentum in case the right catalysts emerge.
If silver manages to settle below the support at $22.30, it will head towards the next support level which is located at August lows at $22.10. A successful test of this level will open the way to the test of the support at $21.90. In case silver declines below this level, it will head towards the next support at $21.65.
On the upside, the previous support at $22.60 will serve as the first resistance level for silver. A move above this level will push silver towards the resistance at $22.90. In case silver settles above $22.90, it will head towards the resistance level at $23.20.
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