Silver Price Daily Forecast – Silver Gains Ground On Weaker Dollar

Silver Video 19.01.21.

Silver Moves Higher Ahead Of Yellen’s Speech

Silver is trying to get back above the 50 EMA at $25.15 while the U.S. dollar was under pressure against a broad basket of currencies.

The U.S. Dollar Index developed downside momentum ahead of Yellen’s speech before the Senate Finance Committee and managed to get below the support at 90.50. Currently, the U.S. Dollar Index is trying to get to the test of the next support level at the 20 EMA at 90.30. If the U.S. Dollar Index settles below this level, it will gain additional downside momentum which will be bullish for silver and gold price today.

Meanwhile, gold is stuck below the $1850 level although it tries to move higher. In case gold manages to settle above the nearest resistance level at $1850, it will move towards the next resistance at $1865 which will be bullish for silver and other precious metals.

Gold/silver ratio failed to settle above the 50 EMA at 74.20 and is testing the support at the 20 EMA at 72.90. A move below the 20 EMA will push gold/silver ratio towards the 72 level which will provide additional support to silver.

Technical Analysis

Silver is currently trying to settle above the 50 EMA at $25.15 and get to another test of the next resistance at $25.30. If this test is successful, silver will move towards the next resistance level which is located at the 20 EMA at $25.55.

A successful test of the resistance at $25.55 will open the way to the test of the resistance level at $25.85. In case silver manages to get above $25.85, it will head towards the resistance at $26.30. No important levels were formed between $25.85 and $26.30 so this move may be fast.

On the support side, silver must settle below the 50 EMA at $25.15 to have a chance to develop downside momentum in the near term. The next support level is located at $25.00.

In case silver declines below this level, it will move towards the support at $24.70. If silver manages to settle below the support at $24.70, it will head towards the next support at $24.50.

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