Silver-
Ichimoku analysis (4-hour chart)
Tenken-Sen- $28.36
Kijun-Sen- $27.88
Silver pared some of its gains after one week of uptrend. It hit a low of $27.96 at the time of writing and is currently trading around $28.10.
The increase in shelter costs which constitutes a major weight in CPI shows that overall inflation may not decline in the near future. This decreases the chance of a rate cut by the Fed.
Gold-silver ratio-
Gold/Silver ratio- 83.26. The ratio decreased from 87.84 from 82.57, 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 $28.20 and a break below the target of $27.60/$27/$26.40/$26/$25. On the higher side, immediate resistance is around $29, and any breach above targets is $30. Major bullish continuations only above $30.
It is good to sell on rallies around $28.85-90 with SL around $30 for TP of $26.
