After a 30% Rally, Silver Weakens, Beware of a Deeper Correction!
Global silver prices corrected in today's trading (September 15th) after recording significant gains in recent weeks. This weakening was primarily driven by a strengthening US dollar, rising bond yields, and more cautious investor sentiment regarding the prospect of a Federal Reserve interest rate cut.
The US dollar index strengthened following the release of economic data showing resilient industrial activity and consumer spending. This strengthening currency makes dollar-priced silver more expensive for international buyers, thus suppressing demand. In addition, rising US government bond yields have weakened the appeal of precious metals, as investors shift to higher-yielding instruments.
The price of silver at the time of writing is $42.081/Toz.
- Buy if the price moves to $42.181
- Sell if the price moves to $41.981
Resistance 2: $42.341
Resistance 1: $42.211
Support 1: $41.871
Support 2: $41.661
DISCLAIMER
Note: This article is for analytical purposes only and is not a definitive reference. Please consider fundamental and technical developments in trading before making any investment decisions.
Source: Newsmaker.id