Silver Video 24.03.21.
Silver Rebounds After Yesterday’s Pullback
Silver found support near $25.00 and is trying to settle above the resistance at $25.20 while the U.S. dollar is gaining ground against a broad basket of currencies.
The U.S. Dollar Index gained strong upside momentum and is trying to settle above the resistance at 92.50. In case this attempt is successful, it will head towards the resistance at 92.70 which will be bearish for silver and gold price today. At the same time, it should be noted that gold and silver have ignored today’s strength of the American currency.
Gold did not manage to gain downside momentum below $1730 but it continues to trade below the resistance at the 20 EMA at $1740. If gold settles above the resistance at the 20 EMA, it will gain upside momentum and head towards the resistance at $1765 which will be bullish for silver and other precious metals.
Gold/silver ratio pulled back after an unsuccessful test of the 69 level. The nearest support level for gold/silver ratio is located at the 50 EMA at the 68 level. In case gold/silver ratio gets to the test of this level, silver will get additional support.
Silver failed to settle below the support at $25.00 and is currently trying to settle above the nearest resistance level at $25.20. In case this attempt is successful, silver will head towards the next resistance at $25.55.
A move above the resistance at $25.55 will push silver towards the low end of the recent trading range between $25.85 and $26.25. If silver manages to get above $25.85, it will find itself back into the $25.85 – $26.25 range.
On the support side, silver needs to get below $25.00 to continue its downside move. RSI is in the moderate territory, and there is plenty of room to gain downside momentum in case the right catalysts emerge.
If silver declines below the support at $25.00, it will head towards the next support level at $24.70. A move below the support at $24.70 will open the way to the test of the support at $24.50.
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