- Silver transactions at USD 36.74, inside 36,15-37.22 USD, back by 0.23%.
- RSI is approaching the neutral zone, the shoot disappears below the resistance key $ 37.00.
- Trendline from April low offers support of USD 36.00; Break can reveal a 50-day SMA after USD 34.39.
- Bulls need a decisive closure above USD 37.00 to re -receive USD 37.49 and USD 38.00.
The silver price is around 36,15-37.22 USD on Monday, but at the time of writing it is to end the day with losses of over 0.23% at USD 36.74. Appetite at risk was negative when US President Donald Trump announced a set of tariffs for over ten countries, causing a decrease in capital markets in the USA.
Price forecast XAG/USD: Technical perspectives
Silver remains biased, despite registration of petite losses, but daily closing below USD 37.00 can pave the way for further losses. From the point of view of the rush, buyers lose a pair, as indicated by the relative force indicator (RSI) at 61.85, which is approaching its neutral line.
However, sellers must spotless the support line drawn from the lowest April 28.34 USD compared to May 15 of the low level $ 31.65, which lasts nearly USD 36.00. In this case, XAG/USD may fall further and challenge the 50-day SMA for USD 34.39.
On the other hand, if XAG/USD cleans USD 37.00 million, the next area of ​​interest will be February 29, 2012, for USD 37.49. After removing, the next stop is $ 38.00.
Chart of prices XAG/USD – daily
Silver often asked questions
Silver is a highly highly commercial metal among investors. It was historically used as a magazine of values ​​and exchange medium. Although less popular than gold, traders can turn to silver to diversify their investment portfolio, due to its internal value or as potential security during high inflation periods. Investors can buy physical silver, in coins or in bars or replace them via vehicles such as stock funds that follow their price on international markets.
Silver prices can move due to a wide range of factors. Geopolitical instability or fear of a deep recession can cause the escalation of silver price due to its secure status, although to a lesser extent than gold. As a resource without profitability, silver tends to grow at lower interest rates. His movements also depend on how the US dollar (USD) behaves because the resource is valued in dollars (xag/USD). A mighty dollar tends to maintain the price of silver, while the weaker dollar will probably boost prices. Other factors, such as investment demand, mining supply – silver is much more profuse than gold – and recycling rates can also affect prices.
Silver is widely used in industry, especially in sectors such as electronics or solar energy, because it has one of the highest electrical conductivity of all metals – more than copper and gold. An boost in demand can boost prices, and the decline tends to lower them. Dynamics in the United States, Chinese and Indian economy can also contribute to price fluctuations: for the USA, and especially China, their vast industrial sectors apply silver in various processes; In India, consumer demand for precious metal for jewelry also plays a key role in setting prices.
Silver prices usually follow gold movements. When gold prices are rising, silver usually follows it because their status as secure assets is similar. The ratio of gold/silver, which shows the number of ounces of silver needed to equalize the value of one ounce of gold, can aid determine the relative valuation between the two metals. Some investors can recognize a high ratio as an indicator that silver is underestimated or gold is overstated. On the contrary, low ratio may suggest that gold is underestimated in relation to silver.
