Silver/AUD discussion
XAGAUD Silver poised to retest $33 after bullish engulfing candle. COT shows increased bullish betting. China demand hopes and possible safe haven inflows driving upside momentum. Level around $35 is next barrier if rally continues.
XAGAUD Going short with a TP of 33.775 and SL of 35.8 on daily chart
XAGAUD Silver has outpaced gold due to a falling gold-silver ratio. The COT shows funds have turned very bullish. Inflation hedge appeal and industrial usage provide support, but global slowdown risks persist. Resistance stands at $35, but momentum signals additional upside towards $37 look likely. China's reopening and the Aussie dollar direction will be key drivers.
XAGAUD (silver/Australian dollar) is currently trading at AUD 36.994, which is within the Supply Zone (SZ) between AUD 36.900 and AUD 37.300. The recent rally has been driven by a number of factors, including the ongoing conflict in Ukraine, rising inflation, and concerns about a global economic slowdown.If XAGAUD breaks above the SZ, the next target is the Demand Zone (DZ) between AUD 38.300 and AUD 38.700. However, if XAGAUD fails to break above the SZ, it could fall back to the Demand Zone (DZ) between AUD 35.900 and AUD 36.300.
The ongoing conflict in Ukraine is a major risk factor for the global economy. If the conflict escalates, it could lead to a surge in demand for safe-haven assets like silver. Rising inflation is also a supportive factor for silver, as it is seen as a hedge against inflation. However, concerns about a global economic slowdown could weigh on silver prices.
XAGAUD Trend: The current trend of the XAGAUD pair is bearish. The 50-day moving average is below the 200-day moving average, and the price is trading below both moving averages.Support and Resistance Levels: The key support levels for the XAGAUD pair are at 35.000 and 34.500. The key resistance levels are at 35.500 and 36.000.
Premium and Discount Levels: The fair value of the XAGAUD pair is currently at 35.250. Therefore, the price is currently trading at a discount.
Fractals: There is a fractal at the 34.500 support level. This suggests that the price may rebound from this level.
Bearish Prediction: If the price breaks below the 34.500 support level, then it could fall to the next support level at 34.000.
Bullish Prediction: If the price rebounds from the 34.500 support level, then it could rise to the next resistance level at 35.500.
XAGAUD XAGAUD is currently in a neutral trend. However, there are some signs that it may be turning bullish.The prognosis for XAGAUD for the next trading week is mixed. However, there are some signs that it may be turning bullish.
One factor that is supportive of silver is the weak Australian dollar. The Aussie dollar has been falling against the US dollar in recent weeks, which is making silver more attractive to Australian investors.
Another factor that is supportive of silver is the ongoing war in Ukraine. The war has led to increased uncertainty and risk aversion in the markets, which has benefited safe-haven assets such as silver.
However, there are also some risks to consider. One risk is that the Federal Reserve could raise interest rates more aggressively than expected. This would be a headwind for silver, as it would make the precious metal less attractive to investors.
Another risk is that there could be some negative news or events that impact the silver market. For example, if there is a major economic downturn, this could lead to a sell-off in silver.
Overall, the prognosis for XAGAUD for the next trading week is mixed. However, there are some signs that it may be turning bullish. Investors should carefully monitor the latest economic and market developments before making any trading decisions.
Sentiment for XAGAUD is mixed. Some analysts believe that silver is poised for a breakout to the upside, while others believe that the metal is headed for lower levels.
