Ichimoku analysis (Weekly chart)
Tenken-Sen- $23.72
Kijun-Sen- $24.85
Silver was one of the worst performers in the past four weeks and lost more than 13%. The decline was mainly due to
The US dollar index regained nearly 200 pips on Hawkish Fed comments.
The spread of the omicron virus will decrease the demand for an industrial commodity like silver also putting pressure at higher levels.
The sell-off in US treasury yields is capping further downside.
Technicals;
The commodity has made a low of $22.03 and shown a minor pullback. The overall trend is weak as long as resistance $25.50 holds. On the lower side, near-term support is at $21.40, any breach below will dag silver down to $21/$19.36.
The near-term resistance is around $22.85, any surge past targets $23.66/$24/$24.25.
It is good to sell on rallies around $22.85-88 with SL around $23.50 for TP of $21.
