Can Silver Prices Remain Trapped Following Today’s U.S. Data?
- The $16.76 and $17.13 levels are keeping silver prices trapped.
- Scheduled for today is a batch of U.S. data, as Durable Goods Orders and Consumer Confidence may be spurring on silver traders to act.
Silver price trading has been relatively muted over the last two days, in comparison to last week’s strong gains.
The narrow range of $16.76 and $17.13 has kept silver prices trapped at the time of writing. Yesterday’s high is the $17.13 level while the $16.76 low was formed following the April 21 ECB rate meeting. With price being coiled, a trend may emerge on a break to this range.
Support levels below the ECB rate meeting low are the psychological level of $16.50 followed by the April 18 low of $16.13. Resistance levels beyond the $17.13 high are the April 22 high of $17.37 and last week’s high of $17.73.
There is no lack of market moving events on deck today.
The batch of U.S. data starts with Durable Goods Orders, which is expected to have risen by 1.9% MoM. Markit U.S. Services PMI and Consumer Confidence Index follow the Durable Goods Orders report. The general tendency is for a better than expected outcome to boost the USD, which may affect silver prices in a negative way. While a lower than expected reading may have a negative effect on the USD, there may be a positive effect on silver. See our economic calendar with expected outcomes.
Silver Price | CFD: 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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