Current trend
Silver prices show flat trading dynamics during the Asian session, consolidating near the local highs and the level of 22.50. Some pressure on the instrument yesterday was exerted by a further increase in the yield of US Treasury bonds, as well as the publication of rather optimistic data from ADP on employment in the private sector in the US. Market participants are now awaiting the September labor market report on Friday, believing that the strong data will increase the chances of the US Federal Reserve's quantitative easing (QE) program cut by the end of this year.
In turn, moderate support for the instrument is provided by the general low level of demand for risky assets. Traders are concerned about the sharp rise in energy prices, which has led to an aggravation of the situation with the availability of fuel in Europe and Asia.
Support and resistance
In the D1 chart, Bollinger Bands are reversing horizontally. The price range is almost unchanged, but it remains rather spacious for the current level of activity in the market. MACD indicator is growing preserving a weak buy signal (located above the signal line). Stochastic, having approached its highs is reversing into a descending plane, indicating risks of overbought instrument in the ultra-short term.
To open new trading positions, it is necessary to wait for the signals from technical indicators to be clarified.
Resistance levels: 22.70, 23.00, 23.35, 23.60.
Support levels: 22.40, 22.00, 21.39, 21.12.
Silver prices show flat trading dynamics during the Asian session, consolidating near the local highs and the level of 22.50. Some pressure on the instrument yesterday was exerted by a further increase in the yield of US Treasury bonds, as well as the publication of rather optimistic data from ADP on employment in the private sector in the US. Market participants are now awaiting the September labor market report on Friday, believing that the strong data will increase the chances of the US Federal Reserve's quantitative easing (QE) program cut by the end of this year.
In turn, moderate support for the instrument is provided by the general low level of demand for risky assets. Traders are concerned about the sharp rise in energy prices, which has led to an aggravation of the situation with the availability of fuel in Europe and Asia.
Support and resistance
In the D1 chart, Bollinger Bands are reversing horizontally. The price range is almost unchanged, but it remains rather spacious for the current level of activity in the market. MACD indicator is growing preserving a weak buy signal (located above the signal line). Stochastic, having approached its highs is reversing into a descending plane, indicating risks of overbought instrument in the ultra-short term.
To open new trading positions, it is necessary to wait for the signals from technical indicators to be clarified.
Resistance levels: 22.70, 23.00, 23.35, 23.60.
Support levels: 22.40, 22.00, 21.39, 21.12.