Ichimoku analysis (4-hour chart)
Tenken-Sen- $28.34
Kijun-Sen- $27.90
Silver hit a three-year high despite strong US inflation data. It hit a high of $29.08 yesterday and is currently trading around $29.087.
US CPI - Strong (negative for silver)
US PPI- Weak (Positive for Silver)
US treasury yields surged sharply as markets predicted no rate cit in June due to strong US inflation.
Gold-silver ratio-
Gold/Silver ratio- 83.55. The ratio declined from 91 to 82.26 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 -$30
It trades above 21, 55- EMA, and above 200 EMA in the 4-hour chart. The near-term support is around $28.49 and a break below the targets of $28/$27.60/$27.20/$26.85/$26.25. On the higher side, immediate resistance is around $29.25, and any breach above targets is $29.53/$30.
It is good to buy on dips around $28.35-40 SL around $27.60 for TP of $30.
