Silver Price Forecast: XAG/USD attracts some sellers below $31.00 amid stronger US Dollar

Silver price edges lower to $30.60 amid the firmer US Dollar on Friday.
The weaker US data boosted bets for rate cuts from the Fed this year, weighing on the Silver price.
Traders will take more cues from the advanced reading of US S&P Global PMI data for June.

Lallalit Srijandorn FXStreet

Silver price (XAG/USD) attracts some sellers near $30.60 on Friday during the early European trading hours. The white metal edges lower amid the stronger US Dollar (USD). However, the downside might be limited as the weaker US economic data have triggered the expectation of the Federal Reserve's (Fed) rate-cutting cycle later this year. Later on Friday, the first reading of the US S&P Global Purchasing Managers Index (PMI) reports for June will be published.

Data released by the US Department of Labour showed that US citizens who applied for unemployment insurance benefits rose by 238,000 for the week ending June 15. This figure was below the market consensus of 235,000 and lower than 243,000 in the previous week. This figure indicated a moderation in the labour market and raised the speculation for a Fed rate cut, following the weaker Retail Sales data last week.

Traders have priced in nearly 64% odds of a Fed rate cut in September, according to CME FedWatch Tool. A lower interest rate generally lifts the Silver price as it reduces the opportunity cost of holding non-yielding assets. “The market is starting to increasingly expect the U.S. central bank to start its easing program. I suspect we might be getting some long positions getting installed into the market,” said Bart Melek, head of commodity strategies at TD Securities.

The advanced reading of the US S&P Global Purchasing Managers Index (PMI) reports for June might offer some hints about economic activity in the United States. Any signs of improvement could lift the Greenback and create a headwind for the USD-denominated Silver.

XAG/USD

Overview
Today last price	30.58
Today Daily Change	-0.15
Today Daily Change %	-0.49
Today daily open	30.73

Trends
Daily SMA20	30.26
Daily SMA50	29.11
Daily SMA100	26.68
Daily SMA200	24.92

Levels
Previous Daily High	30.79
Previous Daily Low	29.71
Previous Weekly High	30.26
Previous Weekly Low	28.66
Previous Monthly High	32.51
Previous Monthly Low	26.02
Daily Fibonacci 38.2%	30.38
Daily Fibonacci 61.8%	30.12
Daily Pivot Point S1	30.03
Daily Pivot Point S2	29.33
Daily Pivot Point S3	28.95
Daily Pivot Point R1	31.11
Daily Pivot Point R2	31.49
Daily Pivot Point R3	32.2

Author

Lallalit Srijandorn

FXStreet

Lallalit Srijandorn is a Parisian at heart. She has lived in France since 2019 and now becomes a digital entrepreneur based in Paris and Bangkok.

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