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Silver is seeing the expected pause at $26.09/22 but this stays viewed as a temporary consolidation ahead of an eventual break in due course, with resistance next at $30.72 and then ideally $35.23/365. Meanwhile, the Gold/Silver ratio has broken its medium-term uptrend but is expected to hold 78.20/77.87 for now, per Credit Suisse.

Key quotes

“Silver strength has come to a halt as expected at our flagged resistance at $26.09/22 – the 38.2% retracement of the entire 2011/2020 bear market and key lows from 2011 and 2012. We expect to see further consolidation here for now but continue to look for a break in due course with resistance then seen next at the 50% retracement at $30.72 and then our ‘ideal’ test and what should be a tougher initial barrier at $35.23/35.365.”

“Support for a setback is seen at $22.98, then $22.32/22.26, which we look to try and hold.”

“The Gold/Silver ratio has seen a further sharp fall as Silver outperforms, breaking its long-term uptrend from 2017. We see scope for a move to 78.20/77.87, but look for this to then hold for some consolidation. Post this though we would then look for a break of 77.87 and for Silver outperformance to continue.”