Commodity Trading Tips for Silver by KediaCommodity

Ajay Kumar Kedia 20 June 2014

Silver Silver settled up 4.51% at 44311 tracking Comex Silver gain's which settled above $20.50 per ounce for the first time in two months as world stocks, bonds and commodities rose following yesterday's unsurprising US Federal Reserve decision. Holding rates between 0% and 0.25% for the 66th month running, "Janet Yellen delivered a meticulously balanced message yesterday which was supportive for gold. Fed bond purchases for the coming month were cut by $10 billion to $35bn – just below the monthly addition to the Fed's asset purchases made in September 2012's so-called "QE3" – while Yellen again stressed that interest rates won't rise any time soon. Also with tensions in Iraq escalating to the point that President Obama said he would deploy up to 300 military advisers to the country, investors sent prices of bullion and oil surging in Thursday trading. Bullion, the classic safe-haven trade, reached its highest point in two months as oil, whose Iraqi production could see pressure if ISIS militants move the conflict to the south of Iraq, surged to its highest price of the year. In India Physical Silver premium once again rosed as strong demand in India started. India bought 6,016 tonnes of silver in 2013, all-time high, but the recent data showed the country’s silver bar imports dived over annualized 74% in March, according to the Gems and Jewellery Export Promotion Council. Technically market is under fresh buying as market has witnessed gain in open interest by 8.95% to settled at 9503 while prices up 1913 rupee, now Silver is getting support at 42927 and below same could see a test of 41544 level, And resistance is now likely to be seen at 45116, a move above could see prices testing 45922.