Silver Tests Support At $22.30

Silver ETF Moves Lower Ahead Of The Weekend

Silver is currently trying to settle below the support level at $22.30 while U.S. dollar is mostly flat against a broad basket of currencies. Meanwhile, iShares Silver Trust is trying to settle below $20.70.

The U.S. Dollar Index is currently trying to get back above 97.25. In case this attempt is successful, the U.S. Dollar Index will move towards the nearest resistance at 97.45 which will be bearish for silver and gold price today. Strong dollar is bearish for precious metals as it makes them more expensive for buyers who have other currencies.

Gold managed to settle below the support at $1800 and is testing the next support level at $1785 while SPDR Gold Trust is trying to get below $166.50. In case gold manages to settle below $1785, it will get to the test of the next support level at $1775 which will be bearish for silver.

Gold/silver ratio settled above the 79 level and is testing the resistance at 79.50. A successful test of this level will push gold/silver ratio towards the psychologically important 80 level which will be bearish for silver.

Technical Analysis

Silver is testing the support level at $22.30. RSI remains in the moderate territory, so there is plenty of room to gain additional downside momentum in case the right catalysts emerge.

In case silver manages to settle below the support at $22.30, it will head towards the next support level at $22.10. A move below this level will push silver towards the support at $21.90. If silver declines below $21.90, it will move towards the next support at $21.70.

On the upside, the previous support level at $22.60 will serve as the first resistance level for silver. In case silver gets back above this level, it will move towards the resistance which is located at $22.80. A successful test of the resistance at $22.80 will open the way to the test of the next resistance at $23.10.

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