Daily Silver Price Forecasts – Test Support at $ 26.20

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Silver video 02.04.21.

Money stays under pressure

Silver is currently trying to settle below the 20 EMA at $ 26.20 as the US dollar gains ground against a large basket of currencies.

The US dollar index has managed to settle above the resistance which recently emerged at 91.30 and is heading towards the next resistance level at 91.50. If the US dollar index moves above that level, it will head to the next resistance at 91.75 which will be bearish for silver and gold prices today.

Gold took a strong bearish momentum and managed to stabilize below the support at $ 1,830. Currently, gold is trying to stabilize below the next support level at $ 1800. In the event that gold does manage to stabilize below $ 1800, it will continue its downtrend and head to the next support at $ 1775 which will be bearish for silver and other precious metals.

The volatility of the gold / silver ratio has decreased over the last few trading sessions, and it is currently between 68 and 69. If the gold / silver ratio manages to break above the 69 level, it will gain additional bullish momentum which will be bearish for money.

Silver is currently testing the closest support level to the 20 EMA at $ 26.20. The RSI is in moderate territory, and there is plenty of room to gain additional momentum in case the right catalysts emerge.

If the silver moves below the 20 EMA, it will head to the next support level at $ 25.85. A move below this level will push silver towards the 50 EMA support at $ 25.65. In case the silver drops below the 50 EMA, it will move to the next support at $ 25.30, although it may also receive support near $ 25.55.

On the upside, silver needs to stay above the 20 EMA for any chance of developing short term bullish momentum. The next level of resistance for silver is located at $ 26.70.

If silver breaks above this level, it will head towards resistance at $ 27.00. A move above $ 27.00 will pave the way for the next resistance test at $ 27.50.

For an overview of all of today’s economic events, check out our economic calendar.


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