Silver dropped by Rs.170.00 to settled with a loss of -0.27% at 63890 but still looking firm as last week's US jobs report strengthened expectations of further monetary easing by the Fed. The numbers stoked expectations that Fed policy makers will agree at next week's meeting to launch a third round of government bond buying, also known as QE3, to stimulate the world's largest economy. Bullion outperformed the euro, which hit four-month highs against the dollar, and the broader market. Silver and platinum also rose. Bullion secured its third straight weekly gain, the longest streak since January. With growing hope for monetary stimulus in Europe and the United States, investors boosted holdings of bullion by exchange-traded funds to a record this week. Investors who had taken short positions in gold have been punished two Fridays in a row. Last week prices jumped 2 percent. Many investors worry that a third round of quantitative easing by the Fed printing money to buy government bonds to keep long-term interest rates low will lead to higher inflation. Gold prices doubled in the last four years, as the Fed implemented the first two rounds of quantitative easing. Now technically market is in overbot as RSI for 18days is currently indicating 84.11 and getting support at 63718 and below could see a test of 63546 level, And resistance is now likely to be seen at 64108, a move above could see prices testing 64326.

Trading Ideas:

Silver trading range for the day is 63546-64326.

Silver still looking firm as last week's US jobs report strengthened expectations of further monetary easing by FED

Bullion outperformed the euro, which hit four-month highs against the dollar, and the broader market.

U.S. jobs growth slowed sharply in August, setting the stage for the Fed to pump additional money