Advertisement
Advertisement

Silver Price Prediction – Silver Rise on Dollar Weakness but Fails to Break Resistance

By:
David Becker
Updated: Jul 9, 2021, 19:41 UTC

Wholesale sales rise in May

Silver Price Prediction – Silver Rise on Dollar Weakness but Fails to Break Resistance

Silver prices moved higher but were unable to push through key resistance. Copper prices also higher as the dollar dropped giving a buoy to the commodity sector. Since most commodities are quoted in U.S. dollars, a decline in the greenback is generally positive for silver.  U.S. yields rebounded from their recent slump as the short-squeeze in bonds looks like it has played its course.

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

Technical analysis

Silver prices moved higher on Friday but were unable to purchase the key resistance near the 10-day moving average of 26.13. Support on silver is seen near an upward sloping trend line that comes in near 25.69. Additional resistance is seen near the 50-day moving average at 27.06. The daily chart appears to have formed a triple top which will generate headwinds for prices. Short-term momentum flip-flopped and turned positive as the fast stochastic generated a crossover buy signal. Medium-term negative momentum has decelerated and appears neutral. The MACD histogram is printing in the negative territory near the zero index level with a flat trajectory which reflects consolidation.

Wholesale Sales Rise

May 2021 sales of merchant wholesalers, were $576.5 billion, up 0.8% from the revised April level and up 36.8% from the revised May 2020 level. Wholesale inventories were up $709.8 billion in May at up 1.3%. Including manufacturers’ sales branches and offices, total inventories were up 8.2% from the revised May 2020 level. April 2021 to May 2021 percent change was revised from the advance estimate of up 1.1% to up 1.3%.

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