The Silver price today has pulled back from yesterday’s highs. Prices were under some pressure as the US dollar strengthened across the board as the US Treasury cut interest rates. The scarce US economic support would continue to be concentrated in the Federal Reserve system.
The US Labor Department revealed that non-farm payrolls rose 175,000 in April, missing estimates and higher than a revised 315,000 in March, which predicted a tax cut.
However, recent hawkish comments by Minneapolis Fed President Neel Kashkari, who said that the Fed might stand put on interest rates and opened the door to raising the federal funds rate if inflation doesn’t resume its downtrend, bolstered the Greenback.
The economic docket for the current week will examine further Fed officials crossing the wires, along with Initial Jobless Claims for the week ending May 4 and the preliminary release of the University of Michigan Consumer Sentiment.
The prices advancing more than 2% in start of the week on a expectations that major central banks would begin to reduce rates. Renewed fears that the Middle East conflict could resume between Israel and Hamas can sponsor a leg up in prices.
Technical View – Silver Price Today
Silver prices struggled for the direction yesterday, and after trading in between the range of 83350-82200 settled almost flat at 82878, down 0.09%.
A cluster of indecisive candle stick pattern on the chart, is still indicates for directionless momentum in the prices. However, prices is yet trading below its previous supply zone which is a sign of weakness that is likely to emerge soon if it does not close above it.
On the upside, massive resistance is seen at 84500, a break above it will open the door for 85500-87500.00. Alternatively, prices could consolidate in between the range of 83000-81800 levels
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