Silver settled down -0.35% at 44785 fell to the lowest levels of the session on Wednesday, after data showed that manufacturing activity in the New York-region improved at the fastest pace since May 2012 this month. Silver future prices were likely to find support at 44180, the low from January 10 and resistance at 45460, the recent high. The Federal Reserve Bank of New York said that its general business conditions index jumped to 12.51 in January from a reading of 2.22 in December. A separate report showed that producer prices increased by a seasonally adjusted 0.4% in December, matching forecasts, after falling 0.1% in November. The core producer price index eased up 0.3% last month, above expectations for a 0.1% increase, after rising 0.1% in November. The upbeat data helped bolster expectations that the economic recovery in the U. S. will continue to deepen this year and offset concerns over last week's surprising poor nonfarm payrolls report for December. Market players have closely been looking out for U. S. data reports recently to gauge if they will strengthen or weaken the case for the Federal Reserve to scale back stimulus. The central bank is scheduled to meet January 28-29 to review the economy and assess policy. Technically market is under fresh selling as market has witnessed gain in open interest by 5.89% to settled at 10120 while prices down -156 rupee, now Silver is getting support at 44437 and below same could see a test of 44088 level, And resistance is now likely to be seen at 45012, a move above could see prices testing 45238.

Trading Ideas:

Silver trading range for the day is 44088-45238.

Silver dropped after data showed that manufacturing activity in the New York-region improved at the fastest pace since May 2012 this month.

The Federal Reserve Bank of New York said that its general business conditions index jumped to 12.51 in January

A report showed that producer prices increased by a seasonally adjusted 0.4% in December, matching forecasts, after falling 0.1% in November