(MENAFN- Daily Forex)
Silver made a modest rally during Monday's trading session, showing signs of attempting to breach the stubborn $23.50 resistance level, which has been a notable barrier in recent times. If this resistance can be overcome, it may pave the way for a potential upward surge. The market has been working to rebound from the lower end of its long-term range, and current momentum appears to be favoring an upward trajectory. It's worth noting that the 50-day Exponential Moving Average (EMA) looms just above, which is likely to attract attention from market participants. Forex Brokers We Recommend in Your Region 1 Read full review Get Started In evaluating the silver market, the $22.50 level emerges as a critical support zone, while the $25.50 level above signifies the upper boundary of the range. All factors considered, it appears that silver is gearing up for an upward move, albeit amidst anticipated volatility along the way. This volatility could be further pronounced, given the impending FOMC meeting, and the accompanying press conference scheduled for Wednesday. The market's behavior may also hinge on the performance of thedollar, although the correlation between the two is not always a perfect 100%.There is a Certain Level of Demand in the Market at PresentInterest rates also exert their influence on the silver market, but it's essential to acknowledge that silver has been consolidating within a reasonably well-defined range since May. Consequently, it's prudent to anticipate that this range will continue to exert its influence, at least in the intermediate term. At this juncture, the preference leans towards adopting a buying strategy rather than selling. However, it's crucial to recognize that this market is unlikely to experience a sudden take-off. Instead, it's more likely to involve a gradual ascent, characterized by periods of grinding movement. Given this expectation, closely monitoring position sizes is paramount, as volatility is expected to be a recurring challenge.Nonetheless, it's worth noting that silver currently finds itself closer to the bottom end of its range than the top. This suggests that there is a certain level of demand in the market at present, reinforcing the notion that buying opportunities may be more favorable than selling ones. As the silver market navigates its dynamics, a prudent and patient approach remains key to capitalizing on potential opportunities. Regardless, I think you are about to see a move, just make sure you are not overexposed on one side or the other, even though we are closer to the bottom.Ready to trade our daily Forex analysis ? We've made this forex brokers list for you to check out.
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