Silver ETF retreats as dollar rebounds
Silver is currently heading towards the support level at $ 22.60 as the US Dollar gains ground against a large basket of currencies. Meanwhile, iShares Silver Trust is trying to get back below the $ 21 level.
The US dollar index has received support near 96 and is trying to move back above resistance at 96.25. A move above this level will push the US dollar index towards resistance at 96.50 which will be bearish for silver.
Gold has failed to test the resistance at $ 1,815 and is attempting to move back below the $ 1,800 level as SPDR Gold Trust moves towards the $ 168 level. If gold does manage to settle below $ 1800, it will move to the support level that recently emerged at $ 1785 which will be bearish for silver.
The Gold / Silver ratio has found support at the 20 EMA at 79.10 and is heading towards 79.50. If the gold / silver ratio exceeds this level, it will head towards resistance at the 80 level which will be bearish for silver.
Silver recently attempted to move above resistance at $ 22.90 but failed to develop sufficient bullish momentum and pulled back. The closest support level for silver is at $ 22.60. If the silver drops below this level, it will head to the next support level at $ 22.30.
A move below the support at $ 22.30 will push the silver to the next support at $ 22.10. If the silver manages to stabilize below $ 22.10, it will head towards the support level which is located at $ 21.90.
On the upside, the closest resistance level for silver is still at $ 22.75. If the silver manages to get back above that level, it will move to the next resistance level which is located at $ 22.90. A successful test of this level will push silver towards resistance at the 50 EMA at $ 23.15.
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