FxWirePro: Silver Daily outlook

Ichimoku analysis (4-Hour chart)

Tenken-Sen- $27.85

Kijun-Sen- $27.71

Silver is consolidating in a narrow range between $27.20 and $28.23 despite the weak US dollar. The dovish comments from Fed members confirm that the central bank will not taper the bond-buying program in the near term. The US dollar is struggling to hold above 90 levels, any breach below 89.20 confirms the further bearish trend. The US 10- year yield declined more than 8% from minor top 1.692%. XAGUS hits an intraday high of $28.23 and is currently trading around $27.86.

Technically, silver's significant support is around $27.50 (trend line support), violation below will drag the pair down to $27/$26.57/$26. Significant bearishness can be seen only if it breaks below $24.90.The near-term resistance is at $28.75 (the previous week high), any surge past targets of $29.20/$29.70/$30.10 is possible.

Indicator (4-hour chart)

CAM indicator –Neutral

 Directional movement index – Neutral

It is good to buy on dips around $27.50 with SL around $27 for TP of $30.