Silver Video 13.04.21.
Weak Dollar Provides Additional Support To Silver
Silver is currently trying to settle above the 20 EMA at $25.30 while the U.S. dollar is losing ground against a broad basket of currencies.
The U.S. Dollar Index gained downside momentum after the release of U.S. inflation reports and managed to settle below the support at 92.15. Currently, the U.S. Dollar Index is trying to settle below the next support which is located at the 92 level. If the U.S. Dollar Index manages to settle below this level, it will gain additional downside momentum which will be bullish for silver and gold price today.
Gold managed to get back above the 20 EMA at $1735 and is moving higher. The nearest significant resistance level for gold is located at the 50 EMA at $1760. In case gold gets to the test of this level, silver will get more support.
Gold/silver ratio failed to settle above the resistance at 70 and declined towards the 50 EMA at 68.60. In case gold/silver ratio manages to settle below the 50 EMA, it will head towards the 68 level which will be bullish for silver.
Silver managed to get above the resistance at $25.20 and is testing the next resistance level which is located at the 20 EMA at $25.30. In case silver manages to settle above the 20 EMA, it will gain additional upside momentum and head towards the next resistance at $25.55.
A move above the resistance at $25.55 will push silver towards the resistance at the 50 EMA at $25.65. If silver gets above the 50 EMA, it will move towards the resistance at $25.85. A successful test of this level will open the way to the test of the next resistance area at $26.25 – $26.30.
On the support side, the previous resistance at $25.20 will serve as the first support level for silver. In case silver manages to settle below this level, it will head towards the support at $25.00. A move below the support at $25.00 will push silver towards the support at $24.70.
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This article was originally posted on FX Empire