My Analysis on Silver Micro

Silver Micro on MCX

Silver is now trading in the range 70000 - 72000 which has previously acted as a support zone. 

This is the zone where the Bears have struggled to pull down the silver price further. 

It's an important zone where the Bulls have taken control over the price and has given the upside move. 

The question is, what will boost Bulls confidence to take the price upwards. 

To find an answer, we may have to look at the events that occurred in the past, which pushed the price upwards. 

U.S. Jobless Claims 4-Week Average

Period taken for analysis is from Mid June - Mid July. 

We see, the Average value is changing its trend from downward slope to upward slope. 

Period taken for analysis is Mid July to Mid August.

A similar trend is seen where average 4-week Jobless claims has now changed the trend. In August it begins to rise over forecasted value. 

The impact of both the cases seen is that the silver price pivots and starts rising. 

Jobless claims 4-week Average is a good indicator to know when the price of Silver could pivot.

The recent data published, shows that 4-week average has not yet pivoted. It is still declining.

Which may be a sign that currently price is still on a consolidation phase and will hold till further confirmation till Sep 14th. 

Till then, bye.