trading robot

Silver Trades at a Marginally Lower Price Owing To Subdued Gold Trend

Due to lowered gold trends and weak economic data, silver prices remained stable on Friday this week. The precious metal witnessed an increase of 3.6% on the primary futures and options market for metals COMEX.

As stocks opened at a lower level in the afternoon session the metal maintained downside amidst a weak global trend.

On the daily chart silver has been trading above the 5-day and 200-day moving averages and below the 20, 50, and 100-day moving averages. The relative strength index (RSI) which is the price momentum indicator was 49.25, indicating that prices were trading sideways.

Silver rose sharply on Thursday, while gold rose due to the Federal Reserve’s diplomatic stance. Other industrial metals gained as the US dollar weakened.

The annual growth rate of the US economy in the last quarter was 6.5%. This was lower than the 8.5% predicted by economists in a poll carried out.

The US Department of Labor reported that during the second last week of July the number of people applying for unemployment benefits dropped. Statistics show that the department witnessed a drop from 24,000 to 400,000.

Silver stocks in iShares Exchange Trade Funds (ETF) remained unchanged the next day, at 17,177.76 tons. The net asset value is trading at a surcharge of 0.53%.

The dollar index rose slightly to 91.88, thereby reflecting an increase of 0.01% in the afternoon session.

According to Kodak Securities with the Federal Reserves stance and China’s economic outlook, silver, gold, and industrial metals trading may bring volatile trading. However, it also added that demand concerns may still affect prices.

The spot gold/silver ratio is currently 71.58:1, demonstrating that gold performed better than silver.

The multi-commodity exchange of India MCX Bulldesk rose 2 points which means a 0.01% increase, translating to 14,764. The index tracks the performance of MCX gold and MCX silver futures in real-time.

In the iiiii11Indian futures market, the white metal hit an intraday high and low of ₹68,200 and ₹67,850, respectively on the MCX for September delivery. So far, the precious metal has fallen to a low and high of ₹65,656 and ₹75,215, respectively rupees in the current series.

During Friday afternoon, silver shipments under the September contract fell by ₹146 or 0.21%, narrowing down to ₹68,054 per kilogram. The sales turnover accumulated to 8,406 lots. The December contract fell ₹114 rupees, or 0.17%, narrowing down to ₹68,932 per kilogram and turnover of 1,346 lots.

The contracts for September and December traded so far are valued at ₹5009.7 million and ₹326.5 million, respectively. Similarly, August’s Silver Mini contract fell ₹166 reflecting a decline of 0.24% and adding up to ₹68,234 with a revenue of 16,687 lots.

According to an Indian research analyst on the LBMA which is the international trade association silver could be traded between $24.80 and $26.10.

Previous Article
Next Article

Leave a Reply

Your email address will not be published. Required fields are marked *