According to the latest news, Silver prices increased to Rs 62,821 per kg as traders rose their long positions as seen by the open interest. Significantly, in the previous session, the white metal had eased by 0.8% yesterday on the COMEX.
The precious metal prices increased, tracking gains in Gold on optimist of additional stimulus measures and weak greenback. Remarkably. The U.S. dollar index declined by 0.23 percent and settled at 92.80.
Another essential thing to mention is that silver holdings in iShare, a family of exchange-traded funds managed by BlackRock, remained intact at 17,799.1 tonnes.
MCX iComdex Bullion Index increased 0.49 percent, which equals 75.47 points, and settled at 15,535. Significantly, the MCX iComdex Bullion Index tracks a real-time performance of MCX Gold and MCX silver futures.
According to Senior Research Analyst at Reliance Securities, Sriram Iyer, LBMA Silver Spot keeps over 100-Daily Moving Average up to $24.00, where $24.75 is a substantial hurdle for more upside movement. Hence it is expected to trade in a range of $23.50-$24.80 levels.
Moreover, in the futures market, Silver for December delivery hit an intraday high and intraday low of Rs 62,947 and Rs 62,145 per kg on the Multi Commodity Exchange. Besides, in the previous session, the white metal has hit a high of Rs 79,723 and a low of Rs 49,415.
Silver delivery for December contracts boosted 0.45 percent, which equals 280 and settled at Rs 62,821 per kg with a business turnover of 13,311 lots. Besides, the March contract gained 0.35 percent or Rs 228 to Rs 64,460 per kg, with a turnover of 2,416 lots.
The December contracts traded at Rs 1,376.68 crore, while March’s contracts traded at Rs 13,67 crore.
Gold has outperformed silver
Additionally, the spot gold/silver ratio currently is at 77.08 to 1, which shows that Gold has outperformed the white metal.
Moreover, MCX Silver December didn’t manage to keep up to Rs 63,000 levels, which shows downside momentum under it where its support will be Rs 61,600 – 60,400, while Rs 62,900 – 63,300 will be resistance.
According to Anuj Gupta, Commodities Research at Angel Broking, the yellow and metal trend becomes sideways down, and the expectation of this asset’s safe-haven demand may diminish. Now traders can sell in Silver at Rs 63,000 levels, with the stop loss and for the target of Rs 63,800 levels and Rs 61,700 levels, respectively.
The Silver gained 0.38% and was trading at $24.39 an ounce in New York.