FxWirePro- Silver Daily Outlook

Ichimoku analysis (4-hour chart)

Tenken-Sen- $29.42

Kijun-Sen- $30.29

The Silver showed a minor pullback ahead of US CPI and Fed monetary policy. It hit a high of $29.48 at the time of writing and is currently trading around $29.33.

Markets expect a  weak Head line and strong Core inflation data. Investors awaits Fed dot plot for further movement. The escalation of tension between Israel and Gaza supports silver at lower levels.

Gold-silver ratio-

Gold/Silver ratio- 78.74. The silver gained midly as Gold/Silver ratio rebounded from 73.11 to 79.14, 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 $29 and a break below the target of $28.50/$27.90. On the higher side, immediate resistance is around $30 and any breach above targets is $30.70/$31.50/$32/$32.50.

It is good to sell on rallies around $29.45-50 with SL around $30 for TP  $27.90.