Silver Price Analysis: XAG/USD eyes above $23.20 as Fed seems done with hiking interest rates


  • Silver price aims to climb above $23.20 amid easing US price pressures.
  • The USD Index fell sharply due to the risk-on mood.
  • Silver price recovered strongly after discovering buying interest near 61.8% Fibo retracement at $21.86.

Silver price (XAG/USD) refreshes weekly high near $23.20 as inflation in the United States softened at a higher pace in October. The white metal strengthens on hopes that the Federal Reserve (Fed) will not raise interest rates further.

S&P500 futures added some gains in the Tokyo session, portraying a significant improvement in the risk appetite of the market participants. US equities were heavily bought on Tuesday as inflation eased more than expectations.

The US Dollar Index (DXY) trades near a two-month low around 104.00 amid steady progress in inflation declining towards 2%. The headline inflation eased significantly in October as global oil prices fell sharply due to easing Middle East tensions.

Silver technical analysis

Silver price recovered strongly after discovering buying interest near 61.8% Fibo retracement (plotted from October 4 low around $20.70 to October 20 high at $23.70) at $21.86. The white metal trades above the 200-period Exponential Moving Average (EMA), which indicates that the near-term trend has turned bullish.

The Relative Strength Index (RSI) (14) shifts into the bullish range of 60.00-80.00, which indicates that the bullish impulse has been triggered.

Silver four-hour chart

XAG/USD

Overview
Today last price 23.19
Today Daily Change 0.08
Today Daily Change % 0.35
Today daily open 23.11
 
Trends
Daily SMA20 22.87
Daily SMA50 22.66
Daily SMA100 23.19
Daily SMA200 23.26
 
Levels
Previous Daily High 23.19
Previous Daily Low 22.3
Previous Weekly High 23.26
Previous Weekly Low 22.19
Previous Monthly High 23.7
Previous Monthly Low 20.68
Daily Fibonacci 38.2% 22.85
Daily Fibonacci 61.8% 22.64
Daily Pivot Point S1 22.54
Daily Pivot Point S2 21.98
Daily Pivot Point S3 21.65
Daily Pivot Point R1 23.43
Daily Pivot Point R2 23.76
Daily Pivot Point R3 24.32

 

(This story was corrected on November 15 at 08:33 GMT to say, in the second bullet point, that the USD Index fell sharply due to the risk-on mood, not risk-off mood.)

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 remains pressured below 1.0650 after disappointing German data

EUR/USD remains pressured below 1.0650 after disappointing German data

EUR/USD is consolidating losses below 1.0650 in the European session on Tuesday. The pair remains undermined by disappointing German sentiment data, likely tariffs threat under US President-elect Donald Trump and on increased bets for ECB rate cuts. Fedsepak is next in focus. 

EUR/USD News
GBP/USD recovers above 1.2800, Fedspeak eyed

GBP/USD recovers above 1.2800, Fedspeak eyed

GBP/USD is back above 1.2800, reversing a dip to 1.2790, triggered by the mixed UK labor data. The pair seems to lack follow-through buying, as the US Dollar stands tall  amid broad risk aversion while BoE policymaker Pill's comments fail to impress. Focus shifts to Fedspeak. 

GBP/USD News
Gold falls to major trendline as strong USD weighs

Gold falls to major trendline as strong USD weighs

Gold trades at seven-week lows around $2,600 as it finds support from a major trendline on Tuesday. A stronger US Dollar puts pressure on the precious metal due to market perceptions that President-elect Donald Trump’s economic policies will be positive for the Greenback.

Gold News
BNB Price Forecast: Bullish technical pattern validated, eyes all-time high

BNB Price Forecast: Bullish technical pattern validated, eyes all-time high

Binance Coin trades slightly down on Tuesday after breaking above an ascending triangle formation on the weekly chart, following a 12.5% rally last week. The technical outlook suggests a bullish breakout pattern and continuation of the rally, with a target set for a new all-time high of $825.

Read more
Five fundamentals: Fallout from the US election, inflation, and a timely speech from Powell stand out

Five fundamentals: Fallout from the US election, inflation, and a timely speech from Powell stand out Premium

What a week – the US election lived up to their hype, at least when it comes to market volatility. There is no time to rest, with politics, geopolitics, and economic data promising more volatility ahead.

Read more
Best Forex Brokers with Low Spreads

Best Forex Brokers with Low Spreads

VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.

Read More

Forex MAJORS

Cryptocurrencies

Signatures