Are Silver Price On The Verge Of a Big Move?

The silver price rose slightly on Tuesday. The white metal inched higher after Federal Reserve Chairman Jerome Powell made unusual remarks at an ECB event in Portugal, where he acknowledged that the risks associated with the Fed’s dual mandate were more balanced.

Meanwhile, Federal Reserve Chairman Jerome Powell sounded somewhat optimistic, boosting bets that the central bank is likely to cut interest rates later this year. This will lead to a modest decline in US Treasury yields and keep USD bulls on the defensive, which is seen as a tailwind for gold prices.

In addition, concerns about slowing global economic growth, ongoing geopolitical tensions and political uncertainty in the US and Europe should help limit damage to the hedged precious metals. of.

The yield on the benchmark 10-year US government bond retreats further from a one-month high touched on Monday, which keeps the US Dollar bulls on the defensive and acts as a tailwind for the commodity.

This overshadowed the Job Openings and Labor Turnover Survey, or JOLTS report that showed US job openings rose to 8.140 million on the last day of May from April’s downwardly revised figure of 7.092 million.

Expectations that a Trump presidency would lead to higher tariffs, and government borrowing and be more inflationary than the Biden administration should limit the downside for the US bond yields, in turn, the USD. Now focus is shift on release of the FOMC meeting minutes, due later today, for some meaningful impetus ahead of the closely-watched US monthly employment details, or the NFP report on Friday

Technical Outlook – Silver Price

Silver rose to 90870 and settled at 89893, compared to the previous day’s 89750.00.

Since June 26, 2024, prices have turned positive and recovered from the low of 86156. Yesterday rose to 90,870, with prices trading under a falling wave pattern on the chart above. In addition, prices are trading above short-term moving averages. Both are showing bullish momentum.

A break above 90250 opens the door for 91000-91800 soon. Otherwise, any dip to 87500-87000 could attract buying activity.

 Conversely, major support is at 86000-84400.00

Happy Trading!

Commodity Samachar
Learn and Trade with Ease

Also Read : Nifty & Bank Nifty in Neutral: Eyeing the Next Big Move Forex Newsletter : Dollar Index, XAUUSD, Copper, Crude Oil

Recommended Read : GDP : Is it an important aspect that you should focus on?

Want help on your trade?

Chat with our Analyst