- Silver forms a double bottom near key support, signals potential escape over $ 37.31.
- Candle of dojji and thin volume of holiday to design us a break, not reverse.
- Bulls Eye Resistance for $ 37.49 and $ 38.00; The risk of the disadvantage starts below $ 36.00.
Silver The price was traded on Friday, the remaining practically did not change to $ 36.84, because of the thin volume of trading, because the US markets were closed on holiday. The market mood has become slightly acidic as the headlines surrounding the US trade war, with its business formulas getting into the center of attention after approval by one big beautiful account.
Price Price XAG/USD: Technical outlook
From a technical point of view, gray metal stops its progress even when it remains distorted because it created a double bottom diagram pattern. However, the creation of the doji suggests that a pause is taking place, as the level of eye -resistant levels, such as the year -on -year (YTD) maxima $ 37.31.
Momentum is bull, as shown by the relative force index (RSI). This means that the path of the least resistance is up.
The level of silver resistance to monitor would be $ 37.00, YTD High and 29 February 2012, $ 37.49. Once it is erased, the next stop is $ 38.00. On the other hand, if XAG/USD drops below $ 36.00, it will clean the $ 35.82 testing path. After interference, the next stop would be $ 35.00 before it challenges a 50 -day simple gliding average (SMA) to $ 34.39.
XAG/USD PRICE Chart – Daily
Silver questions
Silver is an expensive metal highly traded among investors. Historically, it is used as a repository of value and medium exchange. Although traders are less popular than gold, they can turn into silver to diversify their investment portfolio, because of their internal value or as potential securing during a period of high inflation. Investors can buy physical silver, coins or bars or trade through vehicles such as stock exchange funds that follow its price on international markets.
Prices of silver can range from a wide range of factors. Geopolitical instability or concerns about a deep recession can escalate the price of silver due to their safe condition, albeit to a lesser extent than gold. As an asset without yield, silver tends to rise with lower interest rates. His movements also depend on how the US dollar (USD) behaves because the asset is valued in dollars (xag/USD). The strong dollar tends to maintain the price of silver at bay while the weaker dollar is likely to drive the price. Other factors such as investment demand, mining supply – silver is much more abundant than gold – and recycling can also affect prices.
Silver is widely used in industry, especially in sectors such as electronics or solar energy because it has one of the highest electrical conductivity of all metals – more than copper and gold. The increase in demand can increase prices while the decline is prone to their reduction. Dynamics in the US, Chinese and Indian economies can also contribute to price fluctuations: for the US and especially China, their large industries use silver in different processes; In India, consumer demand for expensive metal for jewelry also plays a key role in pricing.
Silver prices tend to watch gold movements. When gold prices rise, silver usually follows a suit because their status as assets is safely similar. The ratio of gold/silver, which shows the number of ounces of silver needed to equal to the value of one ounce of gold, can help determine the relative valuation between the two metals. Some investors may consider a high ratio as an indicator that silver is undervalued or gold is overvalued. On the other hand, the low ratio may indicate that gold is undervalued due to silver.
