Silver prices have fallen slightly and continue to consolidate within a very narrow range. The dollar found traction and also moved sideways. Gold prices were almost unchanged and traded at the same rate as silver prices. US Treasury yields rose on stronger than expected US job demand data, which precedes Friday’s nonfarm payroll report. Expectations are for a 500K increase after Wednesday’s strong ADP private payroll report.
Silver prices closed lower but remained almost unchanged. Resistance is seen near the 50 day moving average at 23.60. Support is near the 10 year moving average at 22.41. Short-term momentum is positive as the Rapid Stochastic has recently generated a cross buy signal. Medium-term momentum turned positive as the MACD (Moving Average Convergence Divergence) index generated a cross buy signal. This happens when the MACD line (the 12 day moving average minus the 26 day moving average) crosses above the MACD signal line (the 9 day moving average of the MACD line). The MACD histogram prints in positive territory with an upward sloping path that indicates higher prices.
Strong private wage and claims data point to robust employment report
A strong report on the private payroll should foreshadow a strong government report to be released on Friday. Economists expected 500,000 new jobs According to the US Department of Labor, jobless claims in the United States fell to 326,000 for the week ended Oct. 2, below an expected 345,000 and down from 364,000 from the previous week.
This article originally appeared on FX Empire