Silver Price Daily Forecast – Silver Declines As Treasury Yields Rise

Silver Video 24.02.21.

Strong Dollar And High Yields Put Pressure On Silver

Silver is currently trying to settle below the support at $27.50 while the U.S. dollar is gaining ground against a broad basket of currencies.

The U.S. Dollar Index is currently testing the nearest resistance level at 90.30. The American currency gained upside momentum as U.S. Treasury yields continued to grow. Currently, the yield of 30-year Treasuries is trying to settle above 2.29%. If Treasury yields continue to increase, the U.S. dollar may get additional support. In case the U.S. Dollar Index manages to settle above the resistance at 90.30, it will head towards the next resistance level at the 20 EMA at 90.50 which will be bearish for silver and gold price today.

Gold declined below the support level at $1800 and is testing the next support level at $1785. If gold declines below the support at $1785, it will head towards the next support at $1775 which will be bearish for silver and other precious metals.

Gold/silver ratio has recently made another attempt to settle above the resistance at 65.50 but did not manage to develop sufficient upside momentum and declined towards the 65 level. If gold/silver ratio settles below this level, it will head towards the recent lows at the 64 level which will be bullish for silver.

Technical Analysis

Silver is currently testing the nearest support level at $27.50. Yesterday, silver made an attempt to settle below this level but failed to develop sufficient downside momentum. If silver settles below the support at $27.50, it will head towards the next support at the 20 EMA at $27.10.

A move below the 20 EMA will open the way to the test of the support at $26.70, although silver may also get some support near $27.00.

On the upside, silver needs to settle back above $27.50 to have a chance to develop upside momentum in the near term. The next resistance level for silver is located at $27.75. If silver manages to settle above this level, it will head towards the next resistance at $28.30.

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This article was originally posted on FX Empire

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