Silver Price Daily Forecast – test of support at $ 25.00
Silver remains under considerable pressure
Silver recently made an attempt to settle below the USD 25.00 support as the US dollar rose against a broad basket of currencies.
The US dollar index managed to break the resistance at 92.80 and tested the 93 level. If the US dollar index settles above 93, it will test the next resistance level at 93.10, which is for today the silver and gold prices will be bearish. A strong dollar is bearish for precious metals as it makes them more expensive for buyers with other currencies.
Meanwhile, gold tested the support at $ 1800 but failed to develop enough bearish momentum. The next significant resistance level for gold is at the 50 EMA at $ 1815. If gold manages to settle back above this level, it will move towards the recent highs at $ 1,835, which will be bullish for silver and other precious metals.
The gold / silver ratio gained significant momentum after rising above the 70s. The gold / silver ratio has already moved above the 71 mark and it is getting tiresome to test the 72 mark. If this attempt succeeds, silver will come under greater pressure.
Silver recently managed to break below the USD 25.50 support and attempted to break below the next support at USD 25.30. If silver manages to settle below this level, there is a good chance it will hit another test of the support at $ 25.00.
If silver falls below $ 25.00, it will head for the next support at $ 24.70. A successful test of this level opens the way to test the support at USD 24.50.
On the downside, the previous support at $ 25.50 will serve as the first resistance for silver. If silver returns above this level, it will move towards the next resistance at $ 25.80. Movement above $ 25.80 will push silver back into the $ 25.80 to $ 26.30 area.
You can find an overview of all today’s economic events in our economic calendar.