FxWirePro- Silver Daily Outlook

Silver showed a minor profit booking ahead of US jobs data. It hit a high of $29.17 yesterday and is currently trading around $28.83.

India plans to review Comprehensive Economic Partnership Agreement (CEPA) a free trade agreement with the UAE that will have a negative impact Silver imports and prices. India’s Silver imports surged more than 5800% compared to the previous year due to tariff concession.

Gold-silver ratio-

Gold/Silver ratio-87.39. The gold-silver ratio declined from 89.26 to 86.48 as silver outperformed Gold. 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, 55- EMA, and below 200 EMA in the hourly chart. The near-term support is around $27.70 and a break below the target of $27.15/$26.50. On the higher side, immediate resistance is around $28.85 and any breach above targets is $29.25$30.90/$31.75/ $32/$32.50.

It is good to buy on dips around $28.50 with SL at around $27.77 and TP at $32.50.