Silver Prices Halt Their Decline On A Soft USD
- Silver ends its short-term bearish trend by taking out the March 28 high of $15.39.
- The boost to silver prices occurred on a softer USD following a speech by the Fed’s Janet Yellen.
- The ADP Employment report is expected to show that 195K new jobs were added to the U.S. economy.
Silver prices are higher by 30 cents from yesterday’s low of $15.08. The surge in silver prices occurred on the back of dovish comments by the Fed’s Janet Yellen. Following these remarks, which suggest that the Fed may be cautious about future rate hikes, silver prices took out the March 28 high of $15.39.
The breach to the March 28 high of $15.39 ended the very short-term downtrend as the $15.39 high was the latest swing high before the boost to silver.
Silver prices are now trading without a strong trend in the short-term. The longer-term trend is also flat as silver prices have been oscillating around $15.38 since February 8.
We note the following resistance levels: $16.02, $15.72, and $15.46 with support being found at the following levels: $15.08, $14.87, and $14.75.
With the price of silver heavily influenced by the demand and supply of the U.S. Dollar, today’s ADP report may yet exert more volatility on the silver position.
The U.S. ADP Employment report is expected to show that 195K new jobs were created in March from 214K in February, according to a Blomberg news poll.
Silver Price | FXCM: XAG/USD
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
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