Ichimoku analysis (4-hour chart)
Tenken-Sen- $28.11
Kijun-Sen- $27.97
Silver is consolidating in a narrow range ahead of US CPI and FOMC meeting minutes. It hit a low of $27.62 yesterday and is currently trading around $.
Any upbeat US CPI data will delay an early rate cut by the Fed. So markets eagerly await US CPI and FOMC meeting minutes for further movement.
Gold-silver ratio-
Gold/Silver ratio- 83.77. The ratio declined from 91 to 83.77 well above the historical average of 52. So silver will outperform gold. It is good to buy silver at lower levels compared to gold.
Major trend reversal level -$28.35
The commodity broke significant resistance after one year of consolidation.
It trades above 21, 55- EMA, and above 200 EMA in the 4-hour chart. The near-term support is around $27.60 and a break below the targets of $27.20/$26.85/$26.25. On the higher side, immediate resistance is around $28.35, and any breach above targets is $29/$30.
It is good to buy on dips around $27.50 SL around $27 for TP of $29.
