Ichimoku analysis (4-hour chart)
Tenken-Sen- $31.72
Kijun-Sen- $30.98
Silver pared most of its gains amid the Fed's hawkish stance. It hit a low of $30.16 at the time of writing and is currently trading around $30.34.
The Fed minutes showed that the central bank would go for a rate hike or tighter monetary policy to tackle inflation. The hawkish stance suggests the possibility of delayed rate cuts by the Fed.
The geopolitical tension in the Middle East supports Silver at lower levels.
Markets eye US Flash manufacturing and services PMI for further movement.
Gold-silver ratio-
Gold/Silver ratio- 77.38. The ratio increased from 74.88 to 78.07, 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 -$32.50
It trades below 21 and above 55- EMA, and 200 EMA in the 4-hour chart. The near-term support is around $30 and a break below the target of $29.25/$28.48. On the higher side, immediate resistance is around $31, and any breach above targets is $31.60/$32/$32.50. Major bullish continuations only above $32.50. Any breach above the target of $35.
It is good to buy on dips around $30 with SL around $29 for TP of $35.
