Silver Prices Rise: Supported by Gold and Interest Rate Cut Expectations
Silver prices today showed an upward trend in line with the global gold rally and growing expectations for an interest rate cut by the Federal Reserve. Strong safe-haven sentiment, US fiscal uncertainty, and the outlook for industrial demand for this white metal also supported prices.
Fundamentally, silver is being boosted by gold's continued record-breaking rally. Investors view this alternative precious metal as a hedge against market risks and the potential for a weaker US dollar. Furthermore, the global supply deficit is adding pressure to the supply side, offsetting growing industrial demand, particularly from the renewable energy and electronics sectors.
Technically, the short- to medium-term trend remains bullish. Silver prices are currently trading above key moving averages, confirming upward momentum. The nearest resistance level is around USD 48.20 per troy ounce, while strong support is established around USD 46.60. As long as the price remains above this support level, the opportunity for further upside remains open.
However, market players are urged to remain vigilant for the potential for a technical correction if the US dollar strengthens or if hawkish statements from Fed officials emerge. US macroeconomic data, including the jobs report, is also expected to be an important catalyst for silver's near-term movement.
With a combination of solid fundamentals and technical support, silver's short-term outlook remains positive, although the risk of a correction cannot be ignored. Investors are expected to capitalize on the momentum of the correction as a medium-term entry opportunity.
Source: Newsmaker.id
