Commodity Trading Tips for Silver by KediaCommodity

Ajay Kumar Kedia 7 February 2014

Silver Silver settled up 0.05% at 44413 dropped from the day high rallied to the highest levels of the session following the release of a flurry of U. S. economic data and as comments from ECB President Mario Draghi boosted the euro against the U. S. dollar. Speaking at the ECB's post-policy meeting press conference, Draghi reiterated that euro zone borrowing costs will remain at their present or lower levels until conditions improve. Draghi said that the bank was monitoring money markets closely and that it is determined to take decisive actions if required. His comments came after the ECB held its benchmark interest rate at a record low 0.25%, in line with expectations. Meanwhile in the U. S., the dollar found some support after data revealed that the number of individuals filing for unemployment assistance in the U. S. fell more than expected last week. The Labor Department said initial jobless claims fell by 20,000 to 331,000 from the previous week's revised total of 351,000. The numbers capped gold's gains by rekindling perceptions that the U. S. economy continues to recover and is in less need of Federal Reserve stimulus tools such as bond purchases, which weaken the dollar to spur recovery. Investors were turning their attention to Friday's U. S. nonfarm payrolls report for January, after poor U. S. manufacturing data earlier in the week sparked concerns over a possible slowdown in the economic recovery. Growing sentiments that harsh winter weather may be bruising economic indicators and not waning demand have given the dollar some support and softened gold. Technically market is getting support at 44122 and below same could see a test of 43831 level, And resistance is now likely to be seen at 44862, a move above could see prices testing 45311.