FxWirePro- Silver Daily Outlook

Ichimoku analysis (4-hour chart)

Tenken-Sen- $27.36

Kijun-Sen- $26.91

Silver gained a lot despite the strong US dollar. It hit a high of  $27.71 yesterday and is currently trading around $27.66.

China’s exports rose by 1.5% y/y in Apr, in line with expectations and imports increased by 8.4% well above the forecast of 4.8%. Improving Chinese economic growth will increase demand for industrial metals like Silver.

Gold-silver ratio-

Gold/Silver ratio- 85.15. The ratio decreased from 87.84 from 84.67, 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 200 EMA in the 4-hour chart. The near-term support is around $27.20 and a break below the target of $26.90/$26.40/$26/$25. On the higher side, immediate resistance is around $28, and any breach above targets is $29.45/$30.

It is good to buy on dips around $27.10-15 with SL around $25.40 for TP of $28.