FxWirePro- Silver Daily Outlook

Ichimoku analysis (4-hour chart)

Tenken-Sen- $29.58

Kijun-Sen- $28.77

Silver trading higher after dovish FOMC minutes. It hit a high of $29.74 yesterday and is currently trading around $29.52.

FOMC meeting minutes revealed that the “vast majority”  of members indicated a rate cut “at the next meeting”. The easing geopolitical tension in the Middle East put pressure at higher levels.

Major economic data-

Unemployment claims (12:30 pm GMT)

 Flash manufacturing and services PMI  (1:45 pm GMT)

Existing home sales (2 pm GMT)

Gold-silver ratio-

Gold/Silver ratio-84.47. The gold-silver ratio showed a minor decline from 89.95 to 84.45 as  gold outperformed silver on safe-haven demand. 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 -$30

It trades above 21, above the 55- EMA and 200 EMA in the 4-hour chart. The near-term support is around $29.10 and a break below the target of $28.60/$28. On the higher side, immediate resistance is around $30 and any breach above targets is $30.90/$31.75/ $32/$32.50.

It is good to buy on dips around $29 with SL at around $28.48, and TP at $32.50.