Silver’s Next Move: $30.24 Pivot Holds as Traders Eye NFP and Fed Signals
Silver (XAG/USD) has maintained its resilience, trading at $30.245 as investors continue to seek safe-haven assets amid ongoing global uncertainties.
Expectations of inflationary pressures tied to expansionary policies in major economies have further bolstered silver’s appeal. However, the stronger U.S. dollar, supported by elevated Treasury bond yields, has placed downward pressure on the metal. While silver benefits from its hedge status, the dollar’s rise makes it pricier for foreign investors, creating a mixed trading environment.
[[XAG/USD-graph]]
Federal Reserve’s Policy and Technical Indicators
The Federal Reserve’s data-driven approach to interest rates has significantly impacted market sentiment. With projections of just two rate cuts in 2025 and inflation forecasted to remain above 2%, U.S. Treasury yields have stayed elevated. This continues to support the dollar while weighing on silver’s near-term upside potential.
From a technical perspective, silver hovers around its pivot point at $30.091, signaling a critical juncture. Immediate resistance lies at $30.484, with subsequent levels at $30.723 and $30.959.
On the downside, support at $29.814 could be tested if bearish momentum intensifies. Both the 50 EMA at $30.050 and the 200 EMA at $29.850 provide critical support zones, underscoring a cautiously bullish structure.
Upcoming Events to Watch
Traders are keeping a close watch on U.S. Non-Farm Payrolls (NFP) data, which will be pivotal in determining silver’s next move. The data’s implications on inflation expectations and Federal Reserve policy will likely influence silver’s trajectory in the short term.
Key Takeaways:
Resistance Levels: $30.484, $30.723, and $30.959 present upside barriers.
Support Zones: Critical levels at $29.814 and $29.559 are key for a bearish turn.
Market Drivers: Fed policy and NFP data remain central to silver’s near-term outlook.
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