Silver is showing a stronger trend against gold in recent days. Investors are waiting for the U.S. nonfarm payrolls report today. The weak report will support precious metals, there are all preconditions for that. Earlier in the week, statistics had already indicated weakness in the labor market: the number of unemployment applications was higher than expected and the number of open job positions was lower than expected.
Forecasts for silver are more ambitious than for the other precious metals. Metal's protective function and industrial use, including in the green energy industry, have an impact.
Silver Stock Investor editor Peter Kraut gave his comments on the silver market. The uniqueness of this metal comes from its universality. Silver is both a precious and industrial metal.
Silver will continue growing until the end of 2023. It also tends to follow gold. By the first half of 2024, silver could reach $30 per ounce.
Analysts note that silver is stronger than gold.
Silver rose by more than $3 in March. This means that price increase of more than 15% is the best monthly figure since December 2020. The growth of silver was better than the gold, and the gold/silver ratio fell to a two-month low.
Fawad Razakzada, a market analyst at Forex.com, noted a break in the rising trend of the gold/silver ratio. Now, with the general trend of rising prices in precious metals, the silver should be ahead of gold.
Ole Hansen, head of commodity strategy at Saxo Bank, said that silver could rise to $25 or even $27 per ounce. He noted that the metal remains undervalued.
According to technical analysis, silver remains above rectangle support. Now there was a breakdown of its upper boundary, in recent days there was a consolidation of this movement. It opens new targets for metal growth. First of all, the level of the previous local maximum becomes relevant.
Thus, the growth target for silver is $26.00. Stop-loss can be set at a decrease of the metal inside the rectangle, which corresponds to the level of $24.10.
Rise in the price for silver:
Take profit – 26.00
Stop-loss – 24.10
This content is for informational purposes only and is not intended to be investing advice.
