Silver Daily Forecast – Silver Steady at $12 as Markets Claw Higher

Silver has posted small gains in the Thursday session. Currently, silver is trading at $12.17, up $0.18 or 1.55% on the day.

Silver Steady as US, ECB Announce Stimulus

Investors have taken a break from the frenzied selling, as the equity markets in Europe and the U.S. have steadied on Thursday. This respite has also been reflected in silver prices, as silver is in green territory on Thursday. Silver has not enjoyed a winning daily session since March 5, so another winning session would certainly be a psychological boost.

Late Wednesday, President Trump signed into law a massive stimulus package that had been quickly approved by Congress. The package, worth close to a trillion dollars includes direct payments, deferred payments and tax breaks. The move is aimed at shoring up the U.S. economy, which analysts fear could be headed towards a recession. Unemployment claims skyrocketed to 281 thousand last week, up from 211 thousand a week earlier. These numbers are expected to climb sharply in the coming weeks, with some experts projecting up to a million unemployed persons.

The ECB has also taken dramatic action, after an initially tepid response to the CORVID-19 outbreak triggered heavy criticism against ECB President Christine Legarde. On Wednesday, the ECB announced a 750 billion euro asset purchase program to combat the financial turmoil caused by COVID-19. The program, called the Pandemic Emergency Purchase Program (PEPP) will last until the end of 2020.

 

Silver Technical Analysis

The 12.00 level remains crucial, as silver continues to hug this line. Currently, this line is an immediate resistance line. Above, there is resistance at 13.00. If that level is broken, the market will next be looking at 15.00. On the downside, if silver drops below Wednesday’s low (11.77), we could be headed much lower, as the next major support level is at the 10.00 level, which has psychological significance.

Silver 1-Day Chart

Silver Daily Forecast – Silver Falls to 11-Year Low

Silver has lost ground on Wednesday. Currently, silver is trading at $12.08, down $0.56 or 4.01% on the day.

Market Turmoil Drags Silver Lower

The trading week started with ‘Black Monday’, as the equity markets suffered there worst one-day loss since the 1987 crash. Silver was not spared from the financial carnage, as the metal plunged 12.2 percent. The slide has continued, as silver has fallen 17.9% in the month of March.

Fed, Trump to the Rescue?

The Trump Administration has unveiled plans to boost the economy with a massive stimulus package, which is estimated at some $1 trillion. The package is expected to include direct payments, deferred payments and tax breaks. The plan will require Congressional approval, and Treasury Secretary Mnuchin warned that if the package is not approved, unemployment could skyrocket as high as 20 percent.

U.S. stock markets reacted positively to the news on Tuesday, with silver posting only slight losses after its huge decline on Monday. Silver has given up more ground on Wednesday and has touched a daily low of 11.69, its lowest level since January 2009. The outlook for silver remains grim, as economic growth is at a standstill, which means little industrial demand for silver.

The Federal Reserve has slashed rates to a range between zero and 0.25%, in a move coordinated with other major central banks. On Tuesday, the Fed announced it was establishing a Commercial Paper Funding Facility, in order to keep credit flowing to the economy. Investors are hopeful that this move will ease pressure in the commercial paper market and lower the volatility which has engulfed the financial markets.

 

Silver Technical Analysis

The 12.00 level remains under pressure, as this line was tested in the European session. The next support level is at 10.50, which is protecting the 10.00 level, which has psychological significance. On the upside, there is resistance at 14.00, followed by resistance at 14.50.

Silver 1-Day Chart

Silver Daily Forecast – Silver Pressing on $12 as Market Turmoil Continues

Silver has lost ground on Tuesday. Currently, silver is trading at $12.43, down $0.47 or 3.75% on the day.

‘Black Monday’ Sends Silver Reeling

The financial markets were in free-fall on Monday, as the equity markets suffered their worst one-day loss since the 1987 crash. The economic picture remains grim, despite the emergency move by the Federal Reserve on Sunday, which cut interest rates to a range between zero and 0.25%. Investors remain rattled and the equity markets are bearing the brunt of the panic. Randy Frederick, vice president of trading and derivatives for Charles Schwab, was somber in an assessment of the situation, saying that “we have not experienced an issue like this in the last several decades, where it affects all industries and businesses everywhere in the world.” Frederick added that “a recession is a fairly high probability. The question is when does it start”.

Jittery investors have been gripped by a “dash for cash” attitude, which has left all asset classes vulnerable. Commenting on the market meltdown, Phil Streible, chief market strategist of Blue Line Futures, has noted that “it seems like the only place that anyone found any safe haven in was the bond market, but with yields dipping back down below 0.64%, I think that there’s not much room there on the upside”.

Black Monday did not spare silver, as the metal fell by 12.2 percent. In the month of March, the metal has declined by a staggering 25.0%, as silver’s (partial) safe-haven status has not been enough to save the metal from the ravages of the market melt-down.

 

Silver Technical Analysis

The 12.00 level remains under pressure, although it has not been tested in the Tuesday session. The next support level is at 10.50, which is protecting the 10.00 level, which has psychological significance. On the upside, there is resistance at 14.00, followed by resistance at 14.50.

 

Silver 1-Day Chart

Silver Price Daily Forecast – Silver Is Hit By Broad-Based Selling

It’s been a tough opening for all assets, including the perceived safe heaven assets like silver and gold. While gold is doing rather well, losing “only” 4%, silver is getting absolutely crashed and is down about 15%.

This selling comes despite the recent move by U.S. Federal Reserve to cut rates to 0% – 0.25%. Typically, lower rates are bullish for precious metals which do not pay interest for holding them.

However, the current situation is extraordinary. The market interprets the Fed’s move as a sign that hard times are ahead for the U.S. economy. The consensus right now is that recession is around the corner due to coronavirus containment measures.

Investors are in panic mode, trying to raise as much cash as they can. This is the only possible reason why silver and gold can have that much downside in an environment that is theoretically bullish for them.

Silver is losing more ground than gold in a continuation of the previous pattern – silver has been underperforming gold this year. At this point, it looks like market participants are focused on a very limited number of safe heaven assets – the U.S. Treasures, whose yield settled firmly below 1.00%, and gold, which is flat year-to-date despite the recent downside.

I’d note that it is possible that silver also suffers from forced selling by those investors who got in trouble playing with margin in other assets. In this environment, silver will need a pause in the general market sell-off to be able to gain some ground.

Technical Analysis

In recent days, silver breached several major support levels and entered a deeply oversold territory. The panic nature of selling means that investors and traders should not blindly count on support levels to provide material help in the coming few days.

At the same time, silver might meet resistance on its way back to $14.00. Those market participants who have been puzzled by the recent price action and did not sell their silver may want to use this level as an exit point.

Silver needs the general market to calm down to have a chance for sustainable upside. In this case, it will have the opportunity to catch up on gold whose performance is much better in 2020.

Silver Daily Forecast – Silver Crashes Below $12 as Market Turmoil Continues

Silver has plunged in the Monday session. Currently, silver is trading at $12.29, down $2.40 or 16.40% on the day.

Silver Crashes Below $12.00

Silver fell 15.1% percent last week and the slide has continued on Monday, as the metal is down another 15 percent. The ‘dash for cash’ attitude which has gripped the markets has left all asset classes vulnerable. Gold, which is a traditional safe-haven asset, has not been spared, as the metal fell 8.6% last week and is down another 4.4% on Monday.

The free-fall in the markets has continued, despite drastic action by the Federal Reserve. The Fed cut rates by 50 basis points on Sunday, lowering the baseline rate to a range between zero and 0.25%. The Fed has now slashed rates by a full percent in less than two weeks. The dramatic move on Sunday was made in coordination with other central banks, which also lowered their interest rates to 0.25%. As well, the Federal Reserve announced that it is purchasing $700 billion in bonds and securities. The aim of these moves is to boost economic growth and also calm the frantic financial markets.

The coronavirus has been declared a national emergency in the U.S., as the country has taken drastic measures to curb the spread of the virus. Fears are growing that the outbreak will lead to a global recession, and the mood among investors remains grim.

 

Silver Technical Analysis

Silver easily broke below support levels at 14.50 and 14.00 and has tested the 12.00 level on Monday. The next support level is at 10.50, which is protecting the 10.00 level, which has psychological significance.

Silver Daily Forecast -Will Silver Break Below $15?

Silver is unchanged on Friday, after sustaining sharp losses a day earlier. Currently, silver is trading at $15.80, down $0.02 or 0.09% on the day.

Silver Pulls Back on Hopes of Stimulus

Silver fell over 5 percent on Thursday and has plunged 9 percent this week. The decline on Thursday was in response to U.S. President Trump’s announcement of a ban on foreign travelers from Europe, with the exception of the UK. The ban is in effect for 30 days, and is in response to the coronavirus outbreak, which has now killed 33 people in the U.S. The move pushed silver to an 8-month low and also sent global stock markets sharply lower.

The market sell-off has eased on Friday, on hopes that help is on the way. U.S. lawmakers are working on an economic package to address the coronavirus crisis, which could be unveiled as early as Friday. Stephen Innes, global chief markets strategist at AxiCorp, noted that a bipartisan response is having a calming effect on the market, as it “suggests that there will be little obstacle to a more massive stimulus effort.”

The Federal Reserve has also mobilized. Analysts expect the Fed to cut rates again at next week’s policy meeting. Last week, the Fed stunned the markets and slashed rates by 50 basis points. As well, the New York Federal Reserve made a dramatic move on Thursday, as it said it would inject more than $1 trillion into the markets in the next few days.

 

Silver Technical Analysis

For a second successive day, silver is testing support at the 15.60 line. Below, we find support at the round number of 15.00, followed by a support line at 14.20. On the upside, the line of 16.30 has some breathing room in resistance. Above, we have resistance at 16.90, followed by the 200-day EMA line situated at 17.08.

Silver 1-Day Chart

Silver Daily Forecast – Silver Slides to 8-Month Low as U.S Imposes Travel Restrictions

Silver has recorded considerable losses in the Thursday session. Currently, silver is trading at $15.83, down $0.93 or 5.56% on the day.

Silver Falls Below $16 After U.S. Travel Ban

Silver managed to remain steady for two days, but has resumed its losing ways on Thursday. The metal has fallen over 5 percent, after U.S. President Trump announced a ban on foreign travelers from Europe, with the exception of the UK. The ban is in effect for 30 days, and is in response to the coronavirus outbreak, which has now killed 33 people in the U.S. The move has sent global stock markets sharply lower on Thursday, and silver prices have also lost ground. Earlier in the day, silver fell to a daily low of $15.75, its lowest level since July 2019. Silver had already lost ground before Trump’s travel ban, after the World Health organization called the coronavirus a pandemic, which means a disease that is spreading in multiple countries around the world at the same time. Meanwhile, Italy has toughened its measures to combat the virus, announcing the closure of all shops except food shops and pharmacies. The country has already imposed severe travel restrictions on the entire population, in a desperate effort to contain the virus.

 

Silver Technical Analysis

Silver has declined on Thursday and is testing support at the 15.60 line. Below, we find support at the round number of 15.00, followed by a support line at 14.20. On the upside, the line of 16.30 has some breathing room in resistance. Above, we have resistance at 16.90, followed by the 2000-day EMA line at situated at 17.08.

Silver 1-Day Chart

Silver Daily Forecast – Silver Takes Breather at $17.00

Silver has posted slight gains in the Wednesday session, recovering the losses seen on Tuesday. Currently, silver is trading at $16.98, up $0.08 or 0.51% on the day.

Silver Pauses at 17.00 – What’s Next?

After showing significant volatility, silver prices have steadied around the $17.00 level. With the coronavirus spreading and causing economic turmoil across the globe, investor risk appetite has been dampened. This has boosted safe-haven assets such as gold and the Japanese yen, but less so silver. The reason? Silver acts as a hybrid – 60% of demand for the metal is for industrial purposes, while only 40% is demand as a safe -haven. If economic conditions continue to deteriorate, industrial demand will also sag, which will weigh on silver prices.

Gold prices punched above the lofty $1700 on Monday, the first time that has happened since 2012. As well, the gold:silver ratio hit an all-time record of 100:1. Silver has been unable to match gold’s impressive gains and has joined the decline seen in stock markets, bond yields and other commodities.

Trump Downplays Corona but Pledges Relief

With the coronavirus threatening to unleash economic turmoil in the United States, which is the world’s largest economy,  President Trump has announced some measures aimed at providing financial relief.  On Monday, Trump said he will propose a temporary payroll tax cut as well as paid leave for hourly workers who cannot work due to the outbreak. If the spread of the virus intensifies, there will be pressure on the government to implement fiscal stimulus measures, such as relief for small businesses and industries hard-hit by the virus.

 

Silver Technical Analysis

The 200-EMA is situated at 17.10, just above the pair. The line of 17.50 is the next resistance line, followed closely by the 50-EMA at 17.63. Above, the round number of 18.00 is a key resistance level with psychological significance. On the downside, there is immediate support at 16.90, with the next support line at 16.30.

Silver 1-Day Chart

Silver Daily Forecast – Silver Grinding at $17.00

After starting the week with losses, silver is steady in the Tuesday session. Currently, silver is trading at $17.05, unchanged on the day.

Silver Hovering at $17.00

Silver has taken a pause after some significant volatility. The metal gained 4 percent last week, but lost almost half of that amount on Monday. With the coronavirus raising fears about a global recession, silver has also taken it on the chin, as 60% of the demand for the metal is as an industrial component. As a precious metal, silver is also, to an extent, a safe haven, but gold is clearly the destination of choice for jittery investors. Gold prices remain around the lofty $1700 level, as it has reasserted its safe-haven status in times of crisis. The gold-to-silver ratio hit an all-time record of 100:1 on Monday, as silver has joined the decline seen in stock markets, bond yields and other commodities.

Trump Promises Financial Relief for Corona

With the coronavirus threatening to unleash economic turmoil in the United States, President Trump has announced some measures aimed at providing financial relief.  On Monday, Trump said he will propose a temporary payroll tax cut as well as paid leave for hourly workers who cannot work due to the outbreak. If the spread of the virus intensifies, there will be pressure on the government to implement fiscal stimulus measures, such as relief for small businesses and industries hard-hit by the virus.

 

Silver Technical Analysis

The 200-EMA is situated at 17.10, just above the pair. The line of 17.50 is the next resistance line, followed closely by the 50-EMA at 17.63. Above, the round number of 18.00 is a key resistance level with psychological significance. On the downside, there is immediate support at 16.90, with the next support line at 16.30.

Silver 1-Day Chart

Silver Daily Forecast – Silver Falls Below $17 Level

Silver has started the week with losses. Currently, silver is trading at $16.96, down $0.65 or 2.16% the day.

Silver Slips on Demand Concerns

Silver continues to show sharp swings. The metal gained 4 percent last week, but has already given up about half of that amount on Monday. With the coronavirus raising fears about a global recession, silver has also taken it on the chin, as 60% of the demand for the metal is as an industrial component. As a precious metal, silver is also, to an extent, a safe haven, but gold is clearly the destination of choice for jittery investors. Gold prices remain around the lofty $1700 level, as it has reasserted its safe-haven status in times of crisis. Analysts have noted that the gold-to-silver ratio has hit an all-time record of 100:1 on Monday, as silver has joined the decline seen in stock markets, bond yields and other commodities.

The Federal Reserve rate cut last week put pressure on other central banks to lower rates, and Australian and Canadian central banks immediately responded with cuts of their own. Lower interest rates make the U.S. dollar less attractive, which is bullish for precious metals. Silver may benefit from a looser monetary policy, but due to demand for silver as an industrial component, the flow towards precious metals in this time of crisis has been benefiting gold more than silver.

 

Silver Technical Analysis

With silver falling below the 17.00 level, the next resistance line is the 200-EMA at 17.10. The line of 17.50 has some breathing room in resistance, followed closely by the 50-EMA at 17.64. The round number of 18.00 is the next resistance line. On the downside, we find support at 16.90, with the next support line at 16.30.

Silver 1-Day Chart

Silver Daily Forecast – Silver Poised for Best Week Since August

Silver has posted small gains on Friday. Currently, silver is trading at $17.54, up $0.65 or 0.65% the day.

Jittery Investors Flock to Gold, Silver

Silver prices have rebounded this week, with gains of 5.22%. After last’s week disaster, when silver fell almost 10%, the metal received a much-needed boost from the Federal Reserve, which shocked the markets with a large cut of 0.50% earlier this week. The emergency cut was unexpected, as the last time the Fed made a rate cut between policy meetings was in 2008, during the financial crisis. Fed policymakers can be credited with taking decisive action at a time when the coronavirus is causing economic mayhem and threatening to cause a global recession. The Fed is counting on the sharp rate cut to boost the U.S. economy, with fears that the virus could spread rapidly in the U.S., as it has done in countries in Europe and Asia.

The Fed rate cut has put pressure on other central banks to lower rates, and Australia’s central bank immediately responded with a cut of 25 basis points. Lower interest rates make the U.S. dollar less attractive, which is bullish for precious metals. Silver may benefit from a looser monetary policy, but due to its industrial component, the flow towards precious metals in this time of crisis is likely to benefit gold more than silver.

 

Silver Technical Analysis

17.50 is under strong pressure in resistance. and was tested in the Asian session and European sessions. The round number of 18.00 is the next resistance line, followed by 18.75.

On the downside, the 50-day EMA is close by at 17.44, with the 200-day EMA following at 17.10. If the 200-day EMA crosses above the 50-day EMA, it would be a bearish signal for silver prices. Below, we find support at 16.90.

Silver 1-Day Chart

Silver Daily Forecast – Silver Ticks Higher, Coronavirus Jitters Continue

Silver is steady in Thursday trade. Currently, silver is trading at $17.35, up $0.13 or 0.77% the day.

Markets Still Digesting Fed Cut

Silver prices have rebounded this week, with gains of close to 4 percent. The catalyst for the gain was the emergency rate cut by the Federal Reserve, which surprised the markets with the 0.50% cut. The significance of this move cannot be overstated, as the last time the Fed made a rate cut between policy meetings was in 2008, during the financial crisis. Fed policymakers can be credited with taking decisive action at a time when the coronavirus is causing economic mayhem and threatening to cause a global recession. The Fed is counting on the sharp rate cut to boost the U.S. economy, with fears that the virus could spread rapidly in the U.S., as it has done in countries in Europe and Asia.

The Australian central bank trimmed rates after the Fed move and other major central banks may follow the Federal Reserve’s lead. This will likely boost precious metals, particularly gold. Silver may benefit from a looser monetary policy, but due to its industrial component, the flow towards precious metals in this time of crisis is likely to benefit gold more than silver.

 

Silver Technical Analysis

With silver taking a pause, 17.50 remains an immediate resistance line.  There is pressure on the resistance line of 17.50, followed by the 50-day EMA at 17.67. This is followed by the round number of 18.00, which does not appear vulnerable at this time. On the downside, there are some support barriers close by, which may limit any downside movement. The 200-day EMA is situated at 17.10, followed closely by support at 16.90.

Silver Daily Forecast – Silver Rebounds After Surprise Fed Rate Cut

Silver has paused on Wednesday, after recording sharp gains on Tuesday. Currently, silver is trading at $17.24, up $0.01 or 0.09% the day.

Silver Recovers as Fed Slashes Rates

Silver prices plunged 10% last week, but the Federal Reserve turned out to be just what the doctor ordered for ailing silver. The Fed shocked the markets with a sharp cut of 0.50% and this was the first time that the Fed cut rates in-between meetings since 2008. The emergency cut is being widely viewed as a response to the coronavirus outbreak, with growing fears that that virus could cause a global recession. Following the rate cut announcement, Fed chair Powell acknowledged that “the virus and the measures that are being taken to contain it will surely weigh on economic activity for some time, both here and abroad.” At the same time, Powell said that the move should provide “a meaningful boost to the economy.”

The Federal Reserve’s dramatic move came on the heels of a G-7 communiqué, in which the world’s top industrialized countries pledged to take measures to counter the economic risks of the outbreak. There was some initial disappointment in the markets after the G-7 release, as there was no mention of any concrete steps. The Fed has certainly done its part, but investors will be looking for more action in the days to come.

Predictably, the U.S. dollar sustained broad losses after the rate cut, which boosted precious metals such as gold and silver. Gold prices were up 3.2% on Tuesday, while silver gained 2.9%, its best one-day gain since late September.

Silver Technical Analysis

Silver pushed higher on Tuesday, breaking above resistance at 16.90 and then crossing above the 200-day EMA, which is at 17.10. There is pressure on the resistance line of 17.50, The breach of the 50-day EMA has opened up the possibility of a move above the 200-EMA, which is situated at 17.69. On the downside, 16.90 is currently a weak support line, followed by 16.30, which is protecting the round number of 16.00.

Silver Drifting After Last Week’s Plunge, G-7 Mobilizes Against Coronavirus

Silver is trading sideways in the Tuesday session. Currently, silver is trading at $16.81, up $0.07 or 0.46% the day.

Silver Steady, but Demand Concerns Remain

Silver prices have steadied this week, after the metal plunged last week. The metal finds itself below the 17.00 level, after falling 10% last week. This marked the sharpest weekly decline since April 2013. Silver is considered a safe-haven asset, but that status hasn’t helped the metal lately, since the metal also is used as an industrial component. With the coronavirus reaching the United States, there are growing concerns that the economic toll of the outbreak will dampen the industrial demand for silver.

G-7 Mobilizes to Combat Coronavirus

The G-7 countries have all confirmed coronaviurus cases and will hold an emergency conference call at 12:00 GMT, in order to discuss measures to counter the economic risks of the outbreak. The discussion will be led by U.S. Treasury Secretary Steve Mnuchin and Federal Reserve Chair Jerome Powell. The participants include the world’s top financial ministers and central bankers. There is growing alarm at the economic damage that the virus has caused to the global economy. In particular, the outbreak has resulted in closed factories, the disruption of supply chains and a plunge in travel and tourism. France’s Finance Minister Bruno Le Maire has promised “concerted action”. The mobilization of the G-7 has raised risk appetite and boosted European stock markets as well as U.S. futures on Tuesday.

 

Silver Technical Analysis

As silver falls, support levels continues to break. There is immediate resistance at 16.90, followed by the 200-day EMA at 17.11. Above, there is a resistance line at 17.50, followed closely by the 50-day EMA line is situated at 17.74. On the downside, we find support at 16.30. The next support level is at 15.50.

Silver Daily Forecast – Silver Slides to 10-Week Low

Silver has lost ground for a fourth straight day. Currently, silver is trading at $17.12, down $0.64 or 3.65% the day.

Silver Approaching $17

It has been a rough week for silver. The metal is down 7.5% and is on track to post its worst week since October 2016. Silver is struggling to stay above the symbolic 17.00 level, which has held since mid-December.

As a precious metal, silver can be considered a safe-haven asset. At the same time, it also has use as an industrial component, and this aspect has sent silver prices sharply lower. For example, silver is found in photovoltaic (PV), which is a key component in the manufacture of solar panels. China boasts the largest PV silver market in the world, and the coronavirus resulted in many PV factories having to close. South Korea, another industrial hub for silver, has been hit hard by the coronavirus, as the country’s economic activity has been sapped.

Will Fed Trim Rates in Response to Corona?

Only a few weeks, ago, Federal Reserve policymakers were confidently indicating to the markets that they did not anticipate lowering rates in 2020. However, the devastating economic consequences of the coronavirus may cause the Fed to reconsider this stance.

On Thursday, Chicago Fed President Charles Evans said that the Federal Reserve was paying “close attention” to the outbreak and said that “policymakers must commit to provide extraordinary accommodation in order to meet their mandate.” If the coronavirus spreads in the U.S., the Fed may be forced to cut interest rates.

 

Silver Technical Analysis

As silver falls, support levels continues to break. The 200-day EMA is situated at 17.10 and is located at the candlesticks. This is immediately followed by the round number of 17.00. Below, we find support at 16.30, which is protecting the 16.00 level. Above, we have resistance at 17.50, with the 50-EMA at 17.81. This is followed by the key line of 18.00.

 

Silver Daily Forecast – Silver Slide Resumes, is $17.00 Next?

Silver has lost ground on Thursday. Currently, silver is trading at $17.83, down $0.15 or 0.92% the day. 

Silver Falls on Demand Fears

Silver continues to show sharp swings. After gaining 4.3% last week, silver has slumped this week, surrendering most of these gains. The metal has benefited from its status as a safe-haven asset, but it is also used as an industrial metal. This means that the economic chaos caused by the coronavirus has fueled concerns that weaker growth will reduce the demand for silver. For example, one industrial use of silver is in photovoltaic (PV), which is a key component in the manufacture of solar panels. China boasts the largest PV silver market in the world, and the coronavirus resulted in many PV factories having to close. The virus has also spread to South Korea, another industrial hub for silver.

Meanwhile, gold prices continue to move higher, as the safe-haven asset has attracted investors who are becoming increasingly alarmed as the coronavirus has now spread to Europe and the first confirmed case has been reported in the United States. Earlier in the week, gold touched $1689, its highest level since January 2013. It appears that the metal is poised to break above the lofty $1700 level.

 

Silver Technical Analysis

Silver continues to lose ground this week. The key line of 18.00 has switched to a resistance role, but it is a weak line. Above, we have resistance at 18.60, followed by 19.20.

On the downside, the 50-day EMA is situated at 17.81 and is touching the candlesticks. The next support line is at 17.50. The 200-EMA is at 17.10, followed immediately by the round number of 17.00.

Silver Sliding on Global Growth Fears

Silver is slightly lower on Wednesday, after plunging over 3.3% on Tuesday. Currently, silver is trading at $17.90, down $0.10 or 0.56% the day. 

Silver Falls as Industrial Use Declines

After a strong run in which silver gained over 6 percent, the metal has reversed directions and coughed up most of those gains, falling close to 4 percent. Silver benefited from its position as a safe-haven asset, but the metal is also used as an industrial metal. One key industrial use is in photovoltaic (PV, which is a key component in the manufacture of solar panels. and China boasts the largest PV silver market in the world, and the coronavirus resulted in many PV factories having to close. The virus has also spread to South Korea, another industrial hub for silver.

Coronavirus Reaches Western Europe

It has been a dreadful week for crude, which has slumped 7.1 percent. Investor risk apprehension continues to rise as the coronavirus outbreak has spread to Western Europe. Italy has reported 11 fatalities, while France confirmed its second victim on Wednesday. Spain, Austria and Switzerland have also reported coronavirus cases. The European Union had considered imposing border controls but has decided that such a severe move would do little to contain the virus.

Silver Technical Analysis

Silver continues to lose ground this week. The pair tested the symbolic line of 18.00 on Tuesday and has dropped to a daily low of 17.79 in the Wednesday session. Below, the 50-day EMA is situated at 17.81 and is touching the candlesticks. The next support line is at 17.50. The 200-EMA is at 17.11, followed immediately by the round number of 17.00.

On the upside, 18.00 is an immediate resistance line. Above, we have resistance at 18.60, followed by 19.20.

Silver Hits Wall, Pulls Back Towards $18 Level

Silver has reversed directions on Tuesday and posted slight losses. Currently, silver is trading at $18.34, down $0.28 or 1.56% the day. 

Silver Rally Fizzles Out

Silver has been on an excellent run, climbing 6 percent since February 12. However, the rally has stopped on Tuesday, as silver prices are down 1.5 percent. Silver appears to have been overbought, as investors were only too happy to get their hands on precious metals, such as gold and silver. These safe-haven assets have benefited from growing alarm over the coronavirus, which has sapped risk appetite. This trend was clearly apparent on Monday. Silver touched a daily high of 18.90, its highest level since September 2, while gold prices touched a daily high of 1689.38, its highest level since 2013. Despite the pullback in silver on Tuesday, the trend for silver remains upwards, and I expect a rebound sometime during the week.

Italy Reports Coronavirus Deaths

Investors remain jittery over the coronavirus, which now has an official name – COVID-2019. The virus has now reached western Europe, with Italy confirming two fatalities from the outbreak. This will likely mean more confirmed cases in western Europe since they are no border controls within the European Union. With no signs that the virus will be contained anytime soon, we could see the silver and gold rallies continue this week.

Silver Technical Analysis

After an impressive rally, silver has retraced and is again putting pressure on the symbolic 18.00 level. Below, the 50-day EMA is currently situated at 17.84, followed by support at 17.50. Next is the 200-EMA, at 17.11.

On the upside, 18.60 is an immediate resistance line, followed by 19.20. Above, the lofty level of 20.00 has held in resistance since September 2016.

Silver Daily Forecast – Silver Gains Ground, Closing in on $19.00

Silver has posted slight gains in the Monday session. Currently, silver is trading at $18.76, up $0.28 or 1.56% the day. 

Corona Jitters Boost Silver, Gold

Silver enjoyed an excellent week, gaining 4.2 percent. This marked silver’s strongest week since the final week in August, when silver jumped 5.3 percent.

The coronavirus outbreak continues to spread, raising fears that the virus will reach even more countries. Earlier on Monday, Italy reported 200 confirmed cases, the largest number of cases outside of Asia. Italy’s health officials have imposed severe restrictions, which include limiting transport and the quarantine of individuals in affected areas. With the virus reaching Italy, there is concern that the outbreak could quickly spread throughout western Europe, as the Schengen Area, which covers 26 countries, allows for borderless travel. The European Union has said that it will not impose travel bans, but that could change if other European countries report coronavirus cases.

World Health Organization Director-General Tedros Adhanom Ghebreyesus weighed in on the crisis on Saturday, noting that the increase in cases in Italy, South Korea and Iran “is also a matter of concern and how the virus is now spreading to other parts of the world.”

Investors have reacted by snapping up precious metals, which act as safe-haven assets. Earlier on Monday, silver touched a daily high of 18.90, its highest level since September 2. Gold prices touched a daily high of 1689.38, its highest level since 2013. With no signs of the virus will be contained anytime soon, we could see the silver and gold rallies continue this week.

 

Silver Technical Analysis

As silver continues to rally, the line of 19.00 finds itself under strong pressure. This line could be tested as early as Tuesday. Above, the lofty level of 20.00 has held in resistance since September 2016.

On the downside, 18.60 is an immediate support line. Below, there is support at the symbolic 18.00 level. Next, the 50-day EMA is currently situated at 17.81, followed by support at 17.50.

Silver Poised for Strongest Week Since August

Silver is almost unchanged in the Friday session. Currently, silver is trading at $18.36, down $0.13 or 0.38% the day. 

Gold Rally Lifts Silver Prices

It has been an excellent week for silver, as the metal has gained an impressive 4.5% this week. This is shaping up to be silver’s strongest week since the last week in August, when silver jumped 5.3%.

The coronavirus, which shows no signs of being contained, continues to chill investor risk appetite. The outbreak has caused havoc in the Chinese economy, and this week’s warning from Apple that it would fall short of its revenue forecast due to the disruption of its Chinese production facilities. The disruption to supply-chains is also affecting other multinationals with operations in China.

Nervous investors have responded by snapping up precious metals, with gold prices gaining 3.1% this week. In Friday’s Asian session, gold touched a daily high of 1636.59, its highest level since March 2013. The gold rally has dragged silver with it, as silver prices are at their highest since January 8.

Fed Calls Coronavirus Global Risk

The Federal Reserve minutes, released earlier this week, took note of the coronavirus outbreak. Policymakers highlighted the significant risk posed by the coronavirus, stating that “the threat of the coronavirus, in addition to its human toll, had emerged as a new risk to the global growth outlook, which participants agreed warranted close watching.” Policymakers also said that the outbreak has dampened investor sentiment. This warning from the Fed underscores the threat that coronavirus poses to the global economy, which will likely put upward pressure on silver prices until the outbreak is contained.

Silver Technical Analysis

This week’s silver rally distance has seen the metal put more distance between itself and the key 18.00 level. The resistance line of 18.60 is under strong pressure and could be tested on Friday. This would be a significant development, as this line was last tested in resistance in late September.

On the downside, we find support at the 18.00 line. Below, the 50-day EMA is currently situated at 17.79, followed by support at 17.50.