Silver Price Daily Forecast – Silver Moves Higher As Support At $25.80 Remains Strong
Weaker Dollar Provides Support To Precious Metals
Silver is currently trying to get to the test of the resistance at $26.30 while the U.S. dollar is losing some ground against a broad basket of currencies.
The U.S. Dollar Index has managed to settle below 91.80 and is trying to gain some downside momentum. In case this attempt is successful, the U.S. Dollar Index will move closer to recent lows near 91.50 which will be bullish for silver and gold price today. Weaker dollar is bullish for precious metals as it makes them less expensive for buyers who have other currencies.
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Gold received support near $1775 and is moving higher. The nearest significant resistance level for gold is located at the $1800 level. In case gold manages to settle above this level, it will head towards $1815 which will be bullish for silver.
Gold/silver ratio is moving towards the support at the 50 EMA at the 68 level. If gold/silver ratio gets to the test of this level, silver will get more support.
Technical Analysis
Silver failed to settle below the support at $25.80 and rebounded above $26.00. The nearest material resistance level for silver is located at $26.30. In case silver manages to settle above this level, it will head towards the next resistance at $26.65.
A move above the resistance at $26.65 will push silver towards the 50 EMA at $26.90. The next resistance level is located at $27.00, so silver will likely face strong resistance in the $26.90 – $27.00 area.
On the support side, silver needs to settle below the strong support level at $25.80 to have a chance to gain additional downside momentum. If silver declines below the support at $25.80, it will head towards the next support which is located near the recent lows at $25.50.
A successful test of the support at $25.50 will open the way to the test of the next support at $25.30. In case silver gets below this level, it will move towards the next support at $25.00.
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