Silver price prediction per ounce for March 2022


silver price has been in a narrow range over the past few days as investors continue to monitor the ongoing crisis in Ukraine. It is trading at $24.30 an ounce, about 5.20% below the February high. It remains about 6% above its level at the start of the year. This performance mirrors that of gold, which has also jumped around 5.52% this year.

Silver is exposed to the current crisis in Ukraine in several ways. First, it is likely that the silver supply will be limited in the coming months due to the large amount mined in Russia. On the one hand, a company like Polymetal is the second largest producer of silver in the world. This explains why Polymetal’s stock price crashed more than 50% on Monday.

Latest silver news

Second, the current crisis is likely to lead to a stronger dollar as investors rush to safety. Historically, silver has tended to have an inverse relationship with that of the US dollar. Another reason the US dollar will likely strengthen is that the Federal Reserve will be more aggressive starting this month in an effort to slow inflation.

On the positive side, silver tends to have a close correlation with gold, which is why its price jumped more than 6% in February even as US and European stocks fell.

Silver Price Prediction

The daily chart shows that the price of silver has been on a strong uptrend over the past few weeks. As it rose, the metal managed to break above the key resistance level at $25.37, which was the high point on November 15 last year. It moved above the 25 and 50 day moving averages. The metal also broke above the 38.2% Fibonacci retracement level.

Therefore, the price of silver is likely to maintain an uptrend in March as investors target the next key resistance at $27, which lies along the 78.2% retracement level. This life will be invalidated if it goes below $22.

Source link


Comments are closed.