Silver Rebounds Towards The Resistance At The $26 Level

Key Insights

• Silver received strong support near $25.30 and is trying to move above the $26 level. 
• Gold has recently managed to get back above the $2000 level as global markets remain nervous.
• A move above $26.00 will push silver towards the resistance level at $26.15.

Silver ETF Moves Higher In Premarket Trading

Silver is currently trying to settle back above the resistance at $26.00, while the U.S. dollar is losing ground against a broad basket of currencies. Meanwhile, iShares Silver Trust is moving towards the $24 level in premarket trading.

The U.S. Dollar Index has recently made an attempt to settle below the support at 97.75 but failed to develop sufficient downside momentum. In case the U.S. Dollar Index manages to settle below this level, it will move towards the next support at 97.45, which will be bullish for silver and gold price today.

Gold has recently managed to get back above the $2000 level, while SPDR Gold Shares ETF is trying to settle above $186.50 in premarket trading. In case gold settles above $2000, it will move towards the next resistance at $2020, which will be bullish for silver.

Gold/silver ratio failed to settle above the resistance at the 20 EMA at 77.80 and declined below 77.50. If gold/silver ratio settles below this level, it will head towards the 77 level, which will be bullish for silver.

Technical Analysis

Silver is testing the resistance at $26.00. In case this test is successful, silver will move towards the next resistance level at $26.15. RSI has recently pulled back into the moderate territory, so there is plenty of room to gain additional upside momentum in case the right catalysts emerge.

A move above the resistance at $26.15 will push silver towards the resistance at $26.50. If silver gets above this level, it will head towards the next resistance level at $26.80.

On the support side, the nearest support level for silver is located at $25.80. In case silver declines below this level, it will head towards the next support at $25.60.

A move below the support at $25.60 will open the way to the test of the support near the recent lows at $25.30. If silver settles below this level, it will move towards the support level at $25.00.

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