Silver pared some of its gains after US economic data. It hit a low of $29.70 at the time of writing and is currently trading around $29.84.
US conference board consumer confidence rose to 103.30 in Aug, compared to a forecast of 100.70. US Richmond manufacturing index came in at -19 in Aug vs. -14 expected.
The escalation of the tension between Hamas and Israel supports Silver at lower levels.
Gold-silver ratio-
Gold/Silver ratio-83.69. The gold-silver ratio showed a minor decline from 85.82 yesterday to 83.69 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 -$30.25
It trades above 34 and 55- EMA in the 4-hour chart. The near-term support is around $29.60 and a break below the target of $29/$28.60/$27.80/$27.34. On the higher side, immediate resistance is around $30.25 and any breach above targets is $30.90/$31.75/ $32/$32.50.
It is good to buy on dips around $29.60 with SL at around $28.60 and TP at $32.50.
