- Silver prices continue to work higher, challenging the 200-day
- Remains constructive above a pair of trend-lines
- Econ events tomorrow could shake things up
Silver prices continue to work their way higher, now well above the neckline of the inverse H&S currently in play, above the July trend-line; contending with the 200-day MA for the past couple of sessions. If the move up is to continue, then this widely-watched moving average shouldn’t present much of a problem for much longer.
The US dollar has been grinding higher along with silver, an acceleration by the dollar may stop silver in its tracks; conversely, a sudden drop will help bolster precious metals. We’re keeping an eye on the dollar, but not making it our focal point.
As long as silver remains above the July and December trend-lines and the neckline, the nearly two-month long uptrend remains well intact. A pullback here into might even be a good thing to reload for another shot higher.
Heads up: Today and tomorrow Janet Yellen will be appearing before the Banking and House panel. Tomorrow also brings U.S. inflation and retail sales data. So, while markets may be somewhat dull today, tomorrow could be a busy day. See the Economic Calendar for details.
—Written by Paul Robinson, Market Analyst
You can follow Paul on Twitter at @PaulRobinonFX.