Silver Floats Near 25 USD
21 March 2022
The metal traded half a percent higher on Monday and was spotted slightly above the 25 USD during the London session.
It looks like the major demand zone near previous highs at 24.70 USD has been defended (so far), and silver has managed a slight bounce off that level. So as long as silver trades above it, the medium-term outlook seems bullish.
Moreover, the 50-day moving average rose above the 200-day average, known as the golden cross, possibly providing further support for the following days. At that level, near 24 USD, another critical support is located.
Alternatively, the resistance could be found near 25.35 USD, and if silver jumps beyond it, we might see another leg higher toward the current cycle highs near 26.50 USD.
Volatility will surely stay elevated, and investors will assess incoming news from Ukraine, where according to the latest Russian statement, Ukraine is holding down the diplomatic talks.
Finally, the Fed will continue hiking rates, the USD remains bid and US yields pushed to new cycle highs today, likely slowing the silver's uptrend.