Advertisement
Advertisement

Silver Price Prediction – Prices Rebound on Dollar Weakness

By:
David Becker
Updated: Oct 27, 2021, 18:15 UTC

U.S. Trade Deficit Widened

Silver Price Prediction – Prices Rebound on Dollar Weakness

Silver prices edged higher and held above support levels. The dollar edged lower, which took the pressure off the precious metals complex. Yields were mixed despite a larger than expected trade deficit. The yield curve also continued to flatten, with the 2-year yield hitting the highest level since March 2020 and the 10-year moving lower.

Regulated By:FCA, CySEC , FSCA, FSCM
Headquarters:Cyprus
Foundation Year:2011
Min Deposit:$10
82% of retail CFD accounts lose money
Official Site:
Demo Account:Open Demo Account
Max Leverage:1:30 (FCA), 1:30 (CySEC ), 1:500 (FSCA), 1:3000 (FSCM)
Publicly Traded:No
Deposit Options:Wire Transfer, Credit Card, Skrill, Neteller, , Local Deposit, , Maestro, Visa, Mastercard
Withdrawal Options:Wire Transfer, Credit Card, Skrill, Neteller, Mastercard, , , PerfectMoney, Maestro, Visa
Products:Currencies, Commodities, Indices, Stocks
Trading Platforms:MT4, MT5, ,
Trading Desk Type:No dealing desk, ECN, Market Maker
OS Compatability:Desktop platform (Windows), Desktop platform (Mac), Web platform
Mobile Trading Options:Android, iOS

Silver prices moved higher, bouncing near support which is seen near the 10-day moving average at 23.93. Resistance is seen near the September highs at 24.82. The 10-day moving average crossed above the 50-day moving average which means a short-term uptrend is in place. Short-term momentum turned negative as the fast stochastic generated a crossover sell signal. Medium-term momentum has turned positive as the MACD (moving average convergence divergence) index generated a crossover buy signal. This occurs as the MACD line (the 12-day moving average minus the 26-day moving average) crosses above the MACD signal line (the 9-day moving average of the MACD line). The MACD histogram is printing in positive territory with an upward sloping trajectory which points to higher prices.

The U.S. Trade Deficit Surges

The U.S. trade deficit rose significantly in September as exports tumbled. The goods trade deficit increased 9.2% to $96.3 billion, the Commerce Department reported on Wednesday. Goods exports dropped 4.7%, while imports gained 0.5%.

About the Author

David Becker focuses his attention on various consulting and portfolio management activities at Fortuity LLC, where he currently provides oversight for a multimillion-dollar portfolio consisting of commodities, debt, equities, real estate, and more.

Did you find this article useful?

Advertisement