Silver Price Prediction – Prices Slip Following Strong Claims Data


The prices of silver have fallen as the dollar has gained ground. Gold prices have also fallen, weighing on the entire precious metal complex. The US yield curve flattened, but yields rose as jobless claims hit their lowest level in 50 years. More robust yields supported the dollar, which generated negative momentum for silver prices. All eyes are on the Consumer Price Index, which is expected to be released by the US Department of Labor on Friday.

Technical analysis

Silver prices fell on Thursday. Prices are about to test the target, support is seen near September lows at 21.42. Resistance is seen near the 10 day moving average at 22.55. The 10-day moving average has moved below the 50-day moving average, which means that a short-term downtrend is now in place. Short-term momentum turned positive as the Rapid Stochastic generated a cross buy signal. The short term momentum reversed and turned negative as the Rapid Stochastic generated a cross sell signal. Prices are still oversold as the Fast Stochastic shows a reading of 5, below the oversold trigger level of 20.

Initial jobless claims hit lowest level in 50 years

Continuing claims increased from 38,000 to 1.992 million during the week ended November 27. In the week ended November 20, 1.948 million people received benefits under all programs, down 350,527 from the previous week. Unemployment claims fell from 43,000 to 184,000 for the week ended December 4, the lowest level since September 1969. Claims were expected to rise to 215,000 for the final week.

Source link


Comments are closed.