Silver Daily Forecast: Assessing $30.20 Resistance and Market Trends

Market Overview

Silver (XAG/USD) has turned bearish, trading around $29.75 after hitting an intra-day low of $29.36. This downturn is largely due to the bearish trend in gold prices, as silver often mirrors gold’s movements. Despite this pullback, the near-term outlook for silver remains positive, driven by expectations that the Federal Reserve may begin reducing interest rates at its September meeting.

Surge in Global Silver Demand and Indian Imports

Silver prices are experiencing a significant surge in 2024, largely driven by a dramatic rise in global demand. This increase is attributed to the booming solar industry, heightened investor interest, and a growing need for electronics, particularly in India. India has become a major player in the global silver market, with imports nearly tripling in the first half of 2024.

Short-Term Forecast

Silver is trading near $29.75, with support at $29.70. A break below this level could push prices to $29.39, while a rise above $30.20 may target $30.50.

Silver Price Forecast: Technical Outlook

Silver is currently consolidating between $29.75 and $30.20 on the 4-hour chart. The metal finds support around the $29.70 pivot point, bolstered by an upward trendline. A break below this key support could lead to a decline toward the 50 EMA at $29.39 and the 200 EMA at $28.95.