News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bullish
Oil - US Crude
Bearish
Wall Street
Mixed
Gold
Mixed
GBP/USD
Mixed
USD/JPY
Bullish
More View more
Real Time News
  • Use this technical analysis pattern recognition skills test to sharpen your knowledge: https://t.co/Qgz89PTxnu https://t.co/H9fW9ewiQd
  • Get your snapshot update of the of market open and closing times for each major trading hub around the globe here: https://t.co/BgZLFljIhZ https://t.co/yLt0ldtMsV
  • What suits your style of trading stocks or commodities? Find out what are the differences in these two markets here: https://t.co/BnA07cMV0s https://t.co/ZwwuTzTeac
  • What's the difference between leading and lagging indicators? Find out from here: https://t.co/vGx8HCagF5 https://t.co/4DGXwA8vqs
  • Struggling to define key levels? Floor-Trader Pivots assist traders in identifying areas in a chart where price is likely to approach and can be used to set appropriate targets, while effectively managing risk. Learn how to use this indicator here: https://t.co/Ye4m1FMKUW https://t.co/mAMhWbV6Jy
  • Make smart trading decisions with your free guide to trade the news. Download your free guide here.https://t.co/pb5E2KgRzW #DailyFXGuides https://t.co/E9ZmJvqO0z
  • Currency exchange rates are impacted by several factors. Are different world leaders a contributing factor? Find out here: https://t.co/4jsORznRTE https://t.co/fqxw1AoKc1
  • Gold snapped a two-week losing streak but keeps price within the broader August downtrend. These are the levels that matter on the $XAUUSD weekly chart. Get your market update from @MBForex here: https://t.co/B3Jct6mIBD https://t.co/xTGIM2hRBv
  • $GBPUSD continues to move higher, despite Friday’s weakness, as vaccination hopes continue to fuel positive sentiment despite ongoing lockdown fears and downbeat UK data. Get your market update from @nickcawley1 here: https://t.co/S8UoHzOwFN https://t.co/qI6UZdggvM
  • Risk management is one of the most important aspects of successful trading, but is often overlooked. What are some basic principles or risk management? Find out from @PaulRobinsonFX here: https://t.co/IsnpfJhp91 https://t.co/6wxX6oQurn
Silver Prices Digest Losses Ahead of U.S. ISM Non-Manufacturing Results

Silver Prices Digest Losses Ahead of U.S. ISM Non-Manufacturing Results

Alejandro Zambrano, Market Analyst

Talking Points

  • The January 25 high of $15.34 is capping price and silver may reach last week’s low of $14.63.
  • Several macro data reports are on deck today, with the most crucial one being the U.S. ISM Non-Manufacturing index.

Silver prices may reach last week’s low of $14.63 as long as price is being capped by the January 25 high of $15.34. If traders manage to overtake the January 25 high of $15.34, the short-term trend could turn bullish and silver may reach the January 24 high of $15.60.

For now though, the trend is bearish below the $15.34 high and it’s fair to expect lower prices over the coming days ahead. On a break to last week’s low of $14.36, silver prices may reach the psychological level of $14.50.

The lower prices in silver over the last few days have been motivated by rising stock markets lowering the demand for haven assets like silver along with gains in the U.S. Dollar.

If stock markets and the USD keep on gaining, something which will be tested today given the release of the U.S. ISM Non-Manufacturing index figures, silver is likely to remain under pressure.

U.S. ISM Non-Manufacturing

Today’s most crucial economic indicator is the U.S. ISM Non-Manufacturing index. It’s important as it gives us an idea of how U.S. personal consumption may develop within six to seven months down the road (correlation of 0.42 at seven months lead). Economists also use it and its subcomponents to estimate NFP and other key variables. It’s therefore watched by many.

A stronger than expected reading (in this case the 53.1 projected by a Bloomberg news survey) may soften silver prices as stocks and the Dollar rise, while silver may get a boost if the indicator fails to meet expectations.

U.S. Jobless claims, Markit Services PMI, Factory and Durable Goods orders are also on tap, but less crucial. For further expected outcomes, please see our economic calendar.

See the DailyFX Analysts' 1Q forecasts for the Dollar, Euro, Pound, Equities and Gold

Silver Prices | FXCM: XAG/USD

Please add a description for the image.

Created with Marketscope/Trading Station II; prepared by Alejandro Zambrano

--- Written by Alejandro Zambrano, Market Analyst for DailyFX.com

Contact and follow Alejandro on Twitter: @AlexFX00

Struggling with Trading? Join a London Seminar

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES