Can Silver Escape the Narrow Range?
- Silver prices remain trapped in a narrow range, but today’s NFP and ISM may be enough to end this.
- U.S. NFP is seen at 205K, unemployment rate at 4.9%, wage growth at 2.2% YoY, and the ISM at 51 according to the latest Bloomberg news survey.
Silver prices continue to oscillate with no clear drift and when the market trades sideways it tends to trade sideways until a break to the range occurs.
Potential deadlock breakers are macro-economic data reports such as today’s U.S. NFP and ISM. In the case of silver, they may affect the demand and supply of USD, which affects silver’s price.
Tuesday’s low of $15.08 is a supporting price level and the next swing low beyond this level is the March 1 low of $14.75.
Yesterday’s high of $15.56 is capping price, with the following resistance level being the March 21 low of 15.72.
The Change in Nonfarm Payrolls is projected to have been 205k. Average Hourly Earnings are expected to remain unchanged at 2.2% YoY, while the unemployment rate is seen at 4.9%.
U.S. ISM Manufacturing is seen at 51 according to the latest Bloomberg news poll.
More indicators are on tap today but the main ones are NFP and ISM. For the rest please see our economic calendar.
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
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.