Morning Silver Market Report Silver would like to get out from under the negative drag being thrown off by gold but with gold providing a positive initial tilt today a quick return to this weeks highs is possible. However, silver does appear to have a more balanced technical condition than gold and a positive US Non-Farm payroll result could result in the highest May silver price since March 25th. While silver has tried to draft support from ongoing strength in PGM prices recently there continues to be surprising disconnect between the two markets. While positive US data might favor the bull camp in silver, renewed strength in the Dollar might serve to restrain technical short covering buying and fresh outright buying of silver later today. In a positive development silver derivative holdings overnight posted a rather significant inflow of 672,908 ounces, with the majority of that money flowing into the iShares Silver Trust. Technically silver has shown solid basing on the charts and a definitive rise in open interest and perhaps that signals strong handed long accumulation. In the end, silver is an industrial commodity that might be expected to benefit from news of positive growth in the US payroll results. Comex Silver Stocks were 178.953 million ounces down 108,910. Stocks have declined 15 of the last 20 days. After 7 days of consolidation and a steady rise in futures open interest, the bull camp looks to have gained an upper hand. Initial resistance is seen at this weeks highs of $20.145 and support moves up to $19.785. Pushed into the market today we favor the upside with a possible post payroll report spike up to $20.315 later today.
Posted on: Fri, 04 Apr 2014 13:01:49 +0000
Trending Topics
Recently Viewed Topics
© 2015