Silver Tests Resistance At $24.50

Silver ETF Continues To Rally

Silver is currently trying to settle above the resistance at $24.50 while U.S. dollar is mostly flat against a broad basket of currencies. Meanwhile, iShares Silver Trust is trying to settle above $22.70.

The U.S. Dollar Index is testing the support level at the 50 EMA at 95.55. In case the U.S. Dollar Index manages to settle below the 50 EMA, it will move towards the support at 95.40 which will be bullish for silver and gold price today.

Gold managed to settle above the resistance level at $1830 and is testing the next resistance at $1845 while SPDR Gold Trust is trying to settle above $172.50. In case gold manages to settle above the resistance at $1845, it will gain additional upside momentum and move towards the next resistance level at $1875 which will be bullish for silver.

Gold/silver ratio is testing the support level at 75. In case gold/silver ratio declines below this level, it will head towards 74.50 which will be bullish for silver. It should be noted that RSI for gold/silver ratio has recently moved into the oversold territory, so the risks of a pullback are increasing.

Technical Analysis

Silver managed to settle above the resistance at $24.25 and is testing the next resistance level at $24.50. In case silver manages to settle above this level, it will head towards the next resistance at $24.80.

A move above $24.80 will push silver towards the resistance at $25.00. A successful test of this level will open the way to the test of the next resistance which is located at $25.40.

On the support side, the previous resistance at $24.25 will serve as the first support level for silver. RSI has recently moved into the overbought territory, so the risks of a pullback are increasing. In case silver declines below this level, it will head towards the next support at $24.00. A successful test of the support at $24.00 will push silver towards the next support at $23.70.

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