Silver prices recovered on short covering after prices dropped as the dollar stabilized after falls in the previous session as investors turned their attention to upcoming U.S. economic reports. The U.S. Federal Reserve is seen raising rates in December and boosting the U.S. currency, which when it rises makes commodities more expensive for non-U.S. buyers. Expectations of stronger growth after U.S President-elect Donald Trump takes office in January have also helped equity markets since the election earlier this month. The U.S. economy grew faster than initially thought in the third quarter, notching its best performance in two years, buoyed by strong consumer spending and a surge in soybean exports. Gross domestic product increased at a 3.2 percent annual rate instead of the previously reported 2.9 percent pace, the Commerce Department said in its second GDP estimate. Growth was the strongest since the third quarter of 2014 and followed the second quarter's anemic 1.4 percent pace. The Organisation for Economic Co-operation and Development lifted its global growth projections, citing ongoing shift in fiscal stance of major economies, especially the U.S., after Donald Trump takes office as the president next year. In the semi-annual Global Economic Outlook report, the Paris-based think tank said the targeted public spending initiatives could catalyze activity and help to get the global economy out of the low-growth trap. According to Fed Rate Monitor Tool, 97.8% of traders expect the Fed to raise interest rates at its policy meeting in December. Technically market is under short covering as market has witnessed drop in open interest by -27.69% to settled at 6634, now Silver is getting support at 40318 and below same could see a test of 39798 level, And resistance is now likely to be seen at 41154, a move above could see prices testing 41470.

Trading Ideas:

Silver trading range for the day is 39798-41470.

Silver gained on short covering after prices dropped as the dollar stabilized after falls in the previous session.

Data showed that the U.S. economy grew at a quicker than expected rate in the third quarter, expanding at the fastest pace in two years.

Expectations of stronger growth after U.S President-elect Donald Trump takes office in January have also helped equity markets.