Gold Trading Higher, But Don't Forget Silver
FOREX.com | Oct 08, 2019 16:50
With the addition of more Chinese technologies companies to the blacklist yesterday evening, gold is trading higher today, currently up .60%. But don’t forget about silver, which has been trading higher as well since June, currently up almost 1.5%. However, the white metal has a lot of work to do if it is going to continue to move higher, as there is a great deal of resistance it needs to get through first.
Silver had been in an upward sloping channel since the beginning of June and peaked in early September. Since September 4th, silver has been pulling back in a channel formation and has bounced off the 50% Fibonacci retracement level from the May 27th low to the September 4th high. Although there is still time left in the day, if silver were to close 17.51, price would put in a bullish engulfing candlestick on a daily timeframe, which is a 2-candlestick bullish pattern.
Silver/US Dollar
Source: Tradingview, FOREX.com
On a 240-minute time-frame, silver is running into the 38.2% retracement from the September 4th high to the October 1st low at 17.79, which also acts as horizontal resistance. Above there, silver needs aconvincing break through the downward sloping trending near 18.03. In addition, just higher is the 50% Fibonacci retracement level from the previously mentioned time period, at 18.27. That level too acts as horizontal resistance from the spike low on September 24th. Support comes in at the previous lows of 16.90. The next level of support is the spike lows and horizontal support near 16.50.
Disclaimer: The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.
Get The App
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.