Silver ETF Rebounds Despite Strong Dollar
Silver is currently trying to settle back above $23.90 while the U.S. dollar is moving higher against a broad basket of currencies. Meanwhile, iShares Silver Trust is testing the resistance level near $22.15.
The U.S. Dollar index managed to get above the resistance level at 94.20 and is trying to gain additional upside momentum. In case this attempt is successsful, it will head towards the resistance at 94.50 which may be bearish for silver and gold price today. It should be noted that Treasury yields are under strong pressure today. Traders focus on weak yields rather than on stronger dollar, which is bullish for silver and other precious metals.
Gold moved back above the $1775 level and is trying to get to the test of the $1800 level. Meanwhile, SPDR Gold Trust is trying to get to the test of the $168 level. If gold settles above $1800, it will head towards the resistance level at $1815 which will be bullish for silver.
Gold/silver ratio is currently testing the support at the 75 level. A successful test of this support level will open the way to the test of the next support at 74.50 which will be bullish for silver.
Silver is currently testing the resistance level at $23.90. if this test is successful, silver will move towards the next resistance which is located at $24.20.
A successful test of the resistance level at $24.20 will open the way to the test of the resistance at $24.50. If silver gets above this level, it will move towards the next resistance level at $24.80.
On the support side, a move below $23.90 will push silver towards the 50 EMA which is located at $23.65. In case silver declines below this level, it will head towards the support at $23.50. A move below $23.50 will open the way to the test of the support at $23.20.
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This article was originally posted on FX Empire