Silver manages to hold despite the bullish dollar
LONDON (Apr 19) The price of precious metals have managed to hold up well considering the rise in the greenback. The dollar index has broken above the 100.00 area with USD/JPY rising heavily. The main news from the weekend came from Fed's Bullard. Bullard said the FOMC could be looking to raise rates by 75bps. The market had been looking for a 50bps hike up from an original 25bps a few months ago.
Looking at the technicals on the 4-hour chart, the silver futures price is still moving in an uptrend. The next scalp for the bulls will be the orange line at the previous wave high of $26.49/oz. At the moment the price is still under a strong resistance zone near $26.16/oz. Now the price has printed above the area the main high on the chart could be the long term target.
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On the downside, there is a lot of traffic. The red zone close to $25.75/zo is a very heavy area and below that there is the volume point of control (VPOC) at $25.16/oz. For now, the bulls are still in charge and the upside levels are in focus.
KITCO
