Markets eagerly await Russia’s next move. Yields, S&P 500 futures print slight losses.
US data. Fedspeak might also entertain silver traders. Bulls have the upper hand until war is over.
For Friday’s Asian session, Silver (XAG/USD), the top intraday bidder is around $24.40.
Bright metal rose to its highest level since August 2021, before falling back from $25.62. Despite market sentiment remaining sour due to the Russia-Ukraine conflict, the pullback was strong enough to print a negative closing of the commodity.
The invasion of Ukraine by Russia was condemned by global leaders who were ready to impose more sanctions on Moscow and help Ukraine militarily if necessary. However, President Vladimir Putin’s troops surpassed Chernobyl and Ukraine President Zelenskyy signed an order for general mobilization.
Positive comments from Russia such as “Moscow will negotiate the terms for Ukraine’s surrender,” were a part of the pullback on Thursday. Chatters claiming that Ukraine President Zelenskyy stated they must discuss ceasefire negotiations with Russia also supported risk sentiment on Thursday.
Wall Street ended with modest gains following the initial plunge, while the US 10-year Treasury yields closed at the same level as the previous day. This was despite the fact that Wall Street had been volatile. S&P 500 Futures fell 0.20%, while the US Treasury yields were still at 1.96% as of press time.
Markets are currently waiting for updates from Ukraine, as CNN reported that the Russian military is ready to bombard Kyiv.
Apart from the geopolitical News, US Core PCE inflation data and Durable Goods Orders could join Fedspeak to give immediate direction to silver traders.
Analyse technique
Silver rallies from $24.18 at the 200-DMA level to signify another battle with a trendline that is downwardly sloping starting in July 2021, close to $24.35-40.
A clear break of $24.40 would direct XAG/USD to the 61.8% Fibonacci Retracement (Fibo. Around $24.75 for July-September
The silver buyers will be challenged by tops in November and the most recent swing high at $25.40 and $26.55, respectively.
The 50% Fibo. The $24.10 threshold is set to prevent short-term XAG/USD downside at the level of $24.10.
