02/04/25

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Silver prices are experiencing a surge, with the value reaching approximately $33.85 during the early Asian session on Wednesday. This upward trend is underpinned by positive market sentiment, as the price remains significantly above the crucial 100-day Exponential Moving Average (EMA). The 14-day Relative Strength Index (RSI) supports this bullish outlook, showing positive momentum just above the midline.

Investors’ interest in silver is driven by concerns over escalating trade tensions stemming from US tariff plans, which are raising fears of a potential economic downturn. This climate of uncertainty is causing many to seek safe-haven assets like silver. As attention turns to an upcoming announcement from US President Donald Trump regarding reciprocal tariffs, market participants are closely monitoring the developments.

From a technical perspective, the immediate resistance for silver is identified at $34.23, marking a key level from March 18. Should the momentum continue, the next target could be a rally towards the $34.60 – $34.70 range, which aligns with the previous high observed on March 28 and fits within the upper boundary of the Bollinger Bands. Furthermore, the $35.00 psychological level serves as another potential area of interest for traders.

Conversely, if silver prices dip, the first significant support level to watch is at $32.92, a low established on March 25. Should prices falter below this mark, the next support could fall to $31.86, which corresponds with the 100-day EMA. Additional selling pressure could lead to a decline toward $30.82, reflecting the low recorded on February 28. As the market anticipates further developments, traders will likely remain vigilant for price fluctuations in this volatile environment.