Silver continued to recover on short covering from last week's correction, and technical charts suggested the metal could stabilize after bouncing off a key support level. Silver is closing the week lower at 53716. This week we saw an early bounce to the 38.2% retracement level of 59950 before setting fresh lows to 49751. We have an 8 month support line at 49500 drawn off the August and January lows. A break of this opens up a return to 40000. The Gold Silver ratio is closing higher for the third week in a row at 42.69.
The key topside resistance is seen at 45.68 which is the 38.2% Fibo of the 68.34 to 31.68 down move. Now technically market is trading in the range as RSI for 18days is currently indicating 39.08, where as 50DMA is at 60173.14 and silver is trading below the same and getting support at 53534 and below could see a test of 53351 level, And resistance is now likely to be seen at 54026, a move above could see prices testing 54335.
Silver trading range is 53351-54335.
Silver continued to recover on short covering from last week's correction
Silver is having resistance at 54026 and support at 53534 level.
Holdings at ishares silver trust rose by 18.20 tonnes to 10534.41 tonnes.
Copper ended positive as weak dollar helped to spurn the negative tone set by other commodities and settle higher despite further credit-tightening measures in China. The metal shrugged off China's move late Thursday to raise banks' reserve ratio requirement for the fifth time this year, as such a move had been widely anticipated and factored into prices over the past few sessions.
Copper stockpiles at bonded warehouses in Shanghai have fallen from a record since the beginning of May as consumers in the world’s largest user of the metal draw down inventories. Stocks of copper in LME warehouses rose to 468,525 tonnes, nearly 35 percent above levels seen early in December. For today's session market is looking to take support at 400.8, a break below could see a test of 400 and where as resistance is now likely to be seen at 402.6, a move above could see prices testing 403.6.
Copper trading range is 400-403.6.
Copper ended positive as weak dollar helped to spurn the negative tone set by other commodities
Copper is taking resistance at 403.80 and support is seen at 399.20
Copper weekly stocks at Shanghai exchange came down by 17577 tonnes.
Zinc gained on expectation that China, the largest user, may slow the pace of monetary tightening after ordering banks to set aside more cash for the fifth time this year. Hefty inventory levels of Zinc, which are now hovering around 16 year highs will not let prices of Zinc move sharply higher in coming days.