Ichimoku analysis (4-hour chart)
Tenken-Sen- $29.20
Kijun-Sen- $29.11
Silver pared some of its gains despite weak US PCE data. It hit a low of $28.97 yesterday and is currently trading around $29.13.
China’s Caixin Manufacturing PMI rose to 51.80 in June vs. a Forecast of 51.20. At the same time, Nonmanufacturing PMI dipped to 50.50 in June compared to an estimate of 51.
Markets eye US non-farm payroll jobs data this week for further direction.
Gold-silver ratio-
Gold/Silver ratio- 79.56. The gold-silver ratio recovered from 73.11 to 80.59 as gold outperformed silver. The ratio is well above the historical average of 52. So silver will outperform gold in the long run. It is good to buy silver at lower levels compared to gold.
Major trend reversal level -$28.55
It trades below 21, 55- EMA, and 200 EMA in the 4-hour chart. The near-term support is around $28.50 and a break below the target of $27.94/$26. On the higher side, immediate resistance is around $29.50 and any breach above targets is $30/$31/$31.50/$32/$32.50.
It is good to buy on dips around $29 with SL at around $28.65, and TP at $30.
