Silver Price Daily Forecast – Test Of The $24.00 Level

Silver Video 29.09.20.

Silver Continues To Rebound

Silver settled above the resistance at $23.30 and continued its rebound as the U.S. dollar declined against a broad basket of currencies.

The U.S. Dollar Index settled below the support level at 94.20 and is currently trying to get below the 94 level. If this attempt is successful, the U.S. dollar will gain additional downside momentum which will be bullish for silver.

Gold also enjoyed a boost from weaker dollar and tries to get to the test of the $1900 level. The nearest significant resistance level for gold is located at the 50 EMA at $1910. If gold moves towards the 50 EMA, silver will get additional support.

Meanwhile, gold/silver ratio declined below 80 and is trying to develop additional downside momentum. The nearest support for gold/silver ratio is located at the 50 EMA at 78.10. If gold/silver ratio moves below this level, silver will have a good chance to get to the test of its 50 EMA at $24.80.

Today, traders will focus on the first presidential debate between Donald Trump and Joe Biden which may have a significant impact on the markets. For silver traders, the main factor is whether the market interprets the content of the debate as a sign of a weaker dollar in the future. In this case, silver will gain more upside momentum.

Technical Analysis

Silver managed to get above the resistance level at $23.30 and is trying to get above $24.00.

The next significant resistance for silver is located at the 50 EMA at $24.80. There are no material levels between $23.30 and $24.80 so silver may soon get to the test of the 50 EMA in case the U.S. dollar continues to lose ground against a broad basket of currencies.

A move above the 50 EMA will open the way to the test of the next resistance level at the 20 EMA at $25.20. If silver gets above the 20 EMA, it will head towards the next resistance at $25.85.

On the support side, the previous resistance at $23.30 will serve as the first support level for silver. In case silver gets below this support level, it will decline towards the next significant support level at $22.30. A move below $22.30 will open the way to the test of the recent lows at $21.65.

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