Silver (XAG/USD), Platinum Forecast

Advertisement

A shift in risk sentiment, ensuing from the reopening of global economies, have recently weighed on major commodities, pushing Silver and Platinum prices to key Fibonacci support. With long term treasury yields on the rise; buoyed by inflationary concerns and the Federal Reserve’s persistent loose monetary policy, ‘safe haven’ assets such as Silver and Gold, continue to attract investors who are looking for a means of diversification as well as a hedge against future inflationary pressure. However, recent US Dollar strength, a known catalyst of price action, has recently supported the downward trajectory for both Silver and Platinum, hindering further progression from February highs.

Change in Longs Shorts OI
Daily-4%-4%-4%
Weekly-3%-33%-6%

Silver (XAG/USD) Technical Analysis

Silver (XAG/USD) Slips Through Support, Platinum Indecisive

Chart prepared by Tammy Da Costa, IG

Visit the DailyFX Educational Center to discover why news events are Key to Forex

Platinum Technical Analysis

Meanwhile Platinum, the major commodity commonly used in the auto motor industry to reduce emissions, has been at the discretion of supply as Emerging markets continue to experience decreases in short-term supply, hindering the progression of bullish continuation, with prices stalling at Fibonacci support while the CCI falls into oversold territory.

Silver (XAG/USD) Slips Through Support, Platinum Indecisive

Chart prepared by Tammy Da Costa, IG

— Written by Tammy Da Costa, Market Writer for DailyFX.com

Contact and follow Tammy on Twitter: @Tams707

Source

Share this now: