The silver price chart for the past few days reveals a lack of significant movements, with the precious metal fluctuating within the range of $24.5 to $24.8.
Investors are eagerly awaiting the FOMC meeting, where all eyes will be on Jerome Powell’s press conference. While a final rate hike from 5.25% to 5.50% is widely anticipated, market participants are particularly interested in any hints about the future monetary policy over the next few months.
Traditionally, silver should benefit from a weaker US dollar and lower rates. Vice versa, further restrictive decisions could have the opposite effect.
From a technical perspective, silver’s decline found support at the $24.5 level, prompting a rebound to $24.8.
A clear return above $25 will open the door for another test of the recent high of $25.5, while a surpass of these levels will consolidate the bullish trend of the last few weeks. Conversely, if the Federal Reserve adopts a more hawkish tone than expected, we could see silver falling below $24.5. In this scenario, there should be solid support in the $24.1 – $24.2 region.
Carlo is an external market analyst for Kinesis Money. With a credential background in Economic Finance and International Exchange (MA), Carlo’s critical analysis of gold and silver markets’ performance is frequently quoted by leading publications such as Forbes, Reuters, CNBC, and Nasdaq. This publication is for informational purposes only and is not intended to be a solicitation, offering or recommendation of any security, commodity, derivative, investment management service or advisory service and is not commodity trading advice. This publication does not intend to provide investment, tax or legal advice on either a general or specific basis.