Published on Apr 6, 2023

Daily Analysis For Silver (XAG/USD) 06-04-2023

Sliver (XAG/USD) Analysis

Economic Events and Scenario for XAG/USD

Economic Events : -

GMT	Event	Impact	Currency
00:50	(Japan) Foreign Bond Investment	Low	JPY
00:50	(Japan) Stock Investment by Foreigners	Low	JPY
01:00	(El Salvador) Maundy Thursday	None	USD
01:00	(Portugal) Maundy Thursday	None	EUR
02:30	(Australia) Exports MoM	Low	AUD
02:30	(Australia) Imports MoM	Low	AUD
02:30	(Australia) Balance of Trade	High	AUD
02:30	(Australia) RBA Financial Stability Review	Medium	AUD
02:45	(China) Caixin Composite PMI	Low	CNY
02:45	(China) Caixin Services PMI	High	CNY
04:35	(Japan) 6-Month Bill Auction	Low	JPY
04:35	(Japan) 30-Year JGB Auction	Low	JPY
06:00	(Estonia) Industrial Production MoM	Low	EUR
06:00	(Estonia) Industrial Production YoY	Low	EUR
06:00	(Finland) Industrial Production YoY	Low	EUR
06:45	(Switzerland) Unemployment Rate	High	CHF
07:00	(Finland) Balance of Trade	Low	EUR
07:00	(Germany) Industrial Production MoM	Medium	EUR
07:00	(United Kingdom) Halifax House Price Index MoM	Medium	GBP
07:00	(United Kingdom) Halifax House Price Index YoY	Medium	GBP
08:00	(Austria) Balance of Trade	Low	EUR
08:00	(Austria) Wholesale Prices MoM	Low	EUR
08:00	(Austria) Wholesale Prices YoY	Low	EUR
08:00	(Slovakia) Balance of Trade	Low	EUR
08:00	(Switzerland) Foreign Exchange Reserves	Low	CHF
08:30	(Euro Area) S&P Global Construction PMI	Low	EUR
08:30	(France) S&P Global Construction PMI	Low	EUR
08:30	(Germany) S&P Global Construction PMI	Medium	EUR
08:30	(Italy) S&P Global Construction PMI	Low	EUR
09:00	(Germany) New Car Registrations YoY	Low	EUR
09:30	(United Kingdom) S&P Global/CIPS Construction PMI	Medium	GBP
10:00	(France) New Car Registrations YoY	Low	EUR
10:00	(Cyprus) Construction Output YoY	Low	EUR
10:00	(Cyprus) Inflation Rate MoM	Low	EUR
10:00	(Cyprus) Inflation Rate YoY	Low	EUR
10:00	(France) 10-Year OAT Auction	Low	EUR
11:00	(Ireland) Industrial Production YoY	Low	EUR
12:30	(United States) Challenger Job Cuts	Low	USD
13:30	(Canada) Average Hourly Wages YoY	Low	CAD
13:30	(Canada) Part Time Employment Chg	Medium	CAD
13:30	(Canada) Full Time Employment Chg	Medium	CAD
13:30	(Canada) Participation Rate	Medium	CAD
13:30	(Canada) Employment Change	High	CAD
13:30	(Canada) Unemployment Rate	High	CAD
13:30	(United States) Initial Jobless Claims	High	USD
13:30	(United States) Jobless Claims 4-week Average	High	USD
13:30	(United States) Continuing Jobless Claims	High	USD
15:00	(Canada) Ivey PMI s.a	High	CAD
15:00	(Ecuador) Inflation Rate YoY	Low	USD
15:00	(United States) Total Vehicle Sales	Low	USD
15:00	(United States) Fed Bullard Speech	Medium	USD
15:30	(United States) EIA Natural Gas Stocks Change	Low	USD
16:30	(United States) 8-Week Bill Auction	Low	USD
16:30	(United States) 4-Week Bill Auction	Low	USD
18:00	(United States) Baker Hughes Oil Rig Count	Low	USD
18:00	(United States) Baker Hughes Total Rig Count	Low	USD

Today's Scenario: - After hitting a nearly one-year high of $25.10-$25.15 on Wednesday, silver has retreated and is currently trading near the lower end of its daily range around the $24.85-$24.80 region. This decline has eroded some of the gains made during the previous day's trading session.

From a technical standpoint, the sustained move and acceptance above the strong horizontal barrier of $24.30-$24.40 was viewed as a fresh trigger for bullish activity in the XAG/USD market. If the price were to break through the previous Year-To-Date peak at around $24.65, this could set the stage for further upward momentum in the coming weeks.

Buy Scenario: - If the Silver price any recovery moves may struggle to surpass the multi-day-old resistance line near $25.30. If the silver price manages to cross this resistance, the April 2022 high of around $26.25 may act as an intermediate hurdle on its way to the previous yearly peak of $26.95.

Overall, despite the recent pullback, the silver price remains bullish. However, the upward trend is likely to be long and arduous. Till we did not recommend buying Silver (XAG/USD).

Sell Scenario: - During the early hours of Thursday, the price of silver (XAG/USD) is fluctuating around $25.00 following a volatile Wednesday where it initially hit a one-year high before experiencing a daily loss.

Despite being overbought according to the RSI (14), the precious metal remains below an upward-sloping resistance line from April 2022. However, the quote marked a corrective bounce late on Wednesday, likely due to XAG/USD's inability to break through a key support level from three months ago, which has now become previous resistance around $24.55-65. Additionally, the bullish MACD signals also favor a rebound.

As such, silver prices are expected to remain firm unless they break below $24.55. Even if they break the aforementioned resistance-turned-support level, an ascending support line from mid-March near $24.05 can act as an additional barrier to the south. Till we do not advise selling silver (XAG/USD).

Support and Resistance Level: -