- Silver prices soften today following lower demands for safe haven assets after stock markets stabilized.
- The overall trend is bearish below the March 31 swing high of $15.56.
- The Fed will publish its latest FOMC meeting minutes later today, which may attract attention from silver traders given silver’s sensitivity to Fed rate hikes.
Silver prices (FXCM: XAG/USD) have eased back from yesterday’s high of $15.23 as the slide to global stock markets abated today. The stable stock markets is lowering the demand for safe haven assets such as Gold and Silver.
Silver’s technical trend is downwards below the March 31 swing high of $15.56, as the March 31 level is lower than the prior swing high of $16.03 (formed on March 22). Support levels are currently at last week’s low of $14.81 followed by the March 1 low of $14.75 and February 29 low of $14.64.
This evening, silver price volatility may pick up again as the Fed will publish the minutes of its latest rate meeting. The price of silver is sensitive to rate hikes as it tends to strengthen the USD, which usually lowers the price of silver. Traders will therefore scrutinize the minutes for signs of the Fed moving either closer or further away from raising rates.
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