Silver Price Daily Forecast – Silver Is Under Pressure Despite Weak Dollar

Silver Video 23.11.20.

Silver Is Losing Ground At The Beginning Of The Week

Silver did not manage to get back above the nearest resistance at the 50 EMA at $24.40 and is testing the support at $23.90 while the U.S. dollar is losing ground against a broad basket of currencies.

The U.S. Dollar Index is currently trying to settle below the nearest support level at 92.10. If this attempt is successful, the U.S. Dollar Index will head towards yearly lows at 91.75.

Typically, a weak U.S. dollar is bullish for commodities, but it fails to provide support for silver and gold price today. Most likely, previous metals are under pressure because of the release of positive vaccine news  from AstraZeneca which reduced demand for safe haven assets.

At the same time, gold failed to settle below the key support area at $1850 – $1860 which is an encouraging development for the precious metal segment. If gold declines below this level, it will gain downside momentum and head towards the next support level at $1815 which will be bearish for silver.

Gold/silver ratio is currently testing the resistance at the 50 EMA at $77.90, and a move above this level will push it towards the 80 level which will be a negative development for silver.

Technical Analysis

silver november 23 2020

Silver is currently trading in a range between the support at $23.90 and the resistance at the 50 EMA at $24.40. In recent trading sessions, silver made several attempts to settle above the resistance at the 50 EMA but failed to gain sufficient upside momentum.

If silver declines below the nearest support at $23.90, it will head towards the next support level at $23.30. A move below this level will push silver to the next support at $22.90.

On the upside, silver will have to deal with a major resistance level at the 50 EMA. A move above this level will signal that silver is ready to gain upside momentum. In this case, it may quickly get to the test of the next resistance level  at $25.00.

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