Silver

Silver Tests Support At $25.30

Key Insights

  • Silver retreats as Treasury yields test new highs. 
  • Gold moves back below the $1950 level. 
  • A move below $25.30 will push silver towards the 20 EMA at $25.10.

Silver ETF Pulls Back Ahead Of The Weekend

Silver is trying to settle below the support level at $25.30, while the U.S. dollar is losing some ground against a broad basket of currencies. Meanwhile, iShares Silver Trust  is tryng to settle below $23.40.

The U.S. Dollar Index is currently trying to get back above 98.70. If this attempt is successful, the U.S. Dollar Index will move towards the resistance level at 99, which will be bearish for silver and gold price today.

Gold has recently made an attempt to settle above $1960 but lost momentum and pulled back below $1950, while SPDR Gold Shares ETF declined below the $182 level. The nearest support level for gold is located at the 20 EMA at $1940. If gold declines below this level, it will move towards the support at $1915, which will be bearish for silver.

Gold/silver ratio is moving towards the resistance at the 77 level. In case gold/silver ratio settles above this level, it will head towards the 20 EMA at 77.25, which will be bearish for silver.

It should be noted that the yield of 2-year Treasuries has managed to settle above 2.20% and is testing the resistance at 2.25%, which is bearish for precious metals.

Technical Analysis

silver march 25 2022

Silver is testing the support level at $25.30. In case this test is successful, silver will move towards the next support level, which is located at the 20 EMA at $25.10.

A move below the 20 EMA at $25.10 will lead to the test of the support at $25.00. If silver settles below this level, it will head towards the next support level at $24.70.

On the upside, the nearest resistance level for silver is located at $25.60. RSI is in the moderate territory, and there is enough room to gain upside momentum in case the right catalysts emerge.

If silver moves back above the resistance at $25.60, it will head towards the resistance at $25.80. A move above this level will open the way to the test of the resistance at $26.00.

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