Silver Price News: Silver Edges Lower from 12-Year Highs

Silver prices eased slightly lower on Thursday, albeit after briefly rallying to a fresh 12-year high.

Prices pulled back slightly to a low of $33.28 an ounce, compared with around $33.80 an ounce in late trades on Wednesday. Silver briefly spiked as high as $36.73 an ounce on Thursday, although this did not appear to represent repeatable trade, and prices quickly fell back to around $33.70 an ounce later in the session.

Silver has largely tracked the gold market this week, with the yellow metal hitting a fresh peak on Wednesday, although silver failed to follow gold’s strength on Thursday, seemingly in wait-and-see mode awaiting further direction.

Silver’s slight downward move on Thursday came in the context of Tuesday’s 12-year high of $34.91 an ounce.

BRICS nations aim to boost precious metals trading

Meanwhile, the BRICS nations intend to increase the turnover of precious metals between the member countries of the bloc, Russian news agency Tass reported on Wednesday, as the nations unveiled a ‘Kazan Declaration’ during a summit in the southern Russian city this week.

Technical levels affecting silver

On the technical charts, silver remains within the mid-range of a bullish trend channel going back to the early August lows, and the metal could see further upside, particularly if gold continues to set more record highs.

However, if the recent gains for silver run out of steam, attention is likely to focus on the next downside support levels. A Fibonacci analysis based on the February lows of $22.00 an ounce and the recent peak at $34.91 an ounce indicates downside support may be found at the 23.61% point at $31.81 an ounce.

Data points to keep an eye on

The markets may be keeping an eye on Friday’s US durable goods orders for September, followed by the Michigan consumer sentiment figures for October, for the latest pulse check on the state of the US economy. Looking further out, Tuesday’s US JOLTs job openings will be watched for an update on the US labour market, ahead of expected interest rate cuts at the US Fed’s upcoming meeting on November 7.