FxWirePro- Silver Daily Outlook

Silver-

Ichimoku analysis (4-hour chart)

Tenken-Sen- $26.60

Kijun-Sen- $26.90

Silver showed a minor pullback after the Fed's less hawkish rate pause. It hit a low of $26.24 yesterday and is currently trading around $26.39.

The US 10-year yield eased after the Fed mentioned there would not be any rate cut until inflation comes below 2%.

Economic data

US ISM manufacturing PMI- Weak (negative for Silver)

 Gold-silver ratio-

Gold/Silver ratio- 86.57. The ratio increased from 81.60 from 87.18, 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 below 21, 55- EMA, and 200 EMA in the 4-hour chart. The near-term support is around $26.20 and a break below the target of $25.54/$25. On the higher side, immediate resistance is around $27, and any breach above targets is $27.25/$28/$29.45/$30.

It is good to sell on rallies around $ 27.18-20 with SL around $28 for TP of $25.