Silver Price Analysis: US Dollar´s bearish correction could still support, but bears are moving in


  • Silver has corrected into a 61.8% Fibonacci area and bears are moving in.
  • However, the confirming break-of-structure-point is not until $24.9332 to confirm a downside bias. 
  • US Dollar could continue to correct lower, bullish for Silver. 

As per the prior session´s analysis, ´´Silver bulls are lining up as the US Dollar hits a 61.8% Fibo area,´´ the US Dollar did indeed come under pressure and Silver has corrected bullishly as the following will illustrate:

Silver prior analysis

It was stated that Silver had broken below the trendline support and that the Silver price could close on a daily candle in the support area.

$24.5664 was the first import structure level that may otherwise have given way to sell-off as illustrated below. However, it was explained that there could be some consolidation and price discovery to follow over the coming days in and around the recent highs and lows.

US Dollar took on a 61.8% Fibo:

It was acknowledged that f the DXY stalled, then Silver bulls would be in play:

Silver & DXY updates 

We are seeing the correction in the US Dollar on Tuesday. However, so long as 101.50 holds on a closing basis, then the bulls will likely be encouraged within a bullish schematic that is in development. 

This is giving rise to a bullish correction in the white metal:

However, while being on the backside of the bearish trend, the $24.5664 structure remains vulnerable:

Zooming in:

Silver has corrected into a 61.8% Fibonacci area and is being rejected toward trendline support. However, the confirming break-of-structure-point is not until $24.9332 to confirm the downside bias. 

Silver H1 chart

US Dollar bearish scenario

All in all, this could be too premature and the US Dollar could remain under pressure for some time to come, leading to a firmer correction in Silver for the sessions and days ahead:

Share: Feed news

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended content

Editors’ Picks

EUR/USD climbs to 10-day highs above 1.0700

EUR/USD climbs to 10-day highs above 1.0700

EUR/USD gained traction and rose to its highest level in over a week above 1.0700 in the American session on Tuesday. The renewed US Dollar weakness following the disappointing PMI data helps the pair stretch higher.

EUR/USD News

GBP/USD extends recovery beyond 1.2400 on broad USD weakness

GBP/USD extends recovery beyond 1.2400 on broad USD weakness

GBP/USD gathered bullish momentum and extended its daily rebound toward 1.2450 in the second half of the day. The US Dollar came under heavy selling pressure after weaker-than-forecast PMI data and fueled the pair's rally. 

GBP/USD News

Gold trims losses on disappointing US PMIs

Gold trims losses on disappointing US PMIs

Gold (XAU/USD) reclaims part of the ground lost and pares initial losses on the back of further weakness in the Greenback following disheartening US PMIs prints.

Gold News

Here’s why Ondo price hit new ATH amid bearish market outlook Premium

Here’s why Ondo price hit new ATH amid bearish market outlook

Ondo price shows no signs of slowing down after setting up an all-time high (ATH) at $1.05 on March 31. This development is likely to be followed by a correction and ATH but not necessarily in that order.

Read more

Germany’s economic come back

Germany’s economic come back

Germany is the sick man of Europe no more. Thanks to its service sector, it now appears that it will exit recession, and the economic future could be bright. The PMI data for April surprised on the upside for Germany, led by the service sector.

Read more

Forex MAJORS

Cryptocurrencies

Signatures