Silver gains 3% as USD weakness and lower yields provide a floor for the metal, with traders eyeing resistance at $52.50 following a bounce from the $49.00 support level.
Silver is experiencing a technical rebound of nearly 3% after finding support at the $49.00 level. This upward momentum is primarily driven by a broader decline in the US Dollar and falling US Treasury yields, though the metal faces immediate technical resistance at $52.50.
Silver has found support around the $49.00 level.
The metal faces resistance at $52.50.
The US Dollar is currently exhibiting weakness, which is serving as a primary catalyst for the appreciation of precious metals like silver. This decline in the currency's value is occurring in tandem with falling US yields, creating a favorable environment for non-yielding assets.
The weakness in the US Dollar is acting as a catalyst for silver's nearly 3% price gain.
Silver prices rebounded nearly 3% from the $49.00 support level on Monday, fueled by a softening US Dollar and declining Treasury yields. The precious metal maintains its upward momentum despite broader market volatility triggered by falling energy prices amid potential US-Iran conflict resolutions.
Silver is rallying due to a combination of US Dollar weakness and a decline in US Treasury yields, which typically makes non-yielding assets like silver more attractive.
Following the bounce from the $49.00 support level, market participants are monitoring the $52.50 mark as the next key resistance level.