Home » Spot Silver Daily News » Silver Prices – Daily Silver Chart 20th April 2009

Silver Prices – Daily Silver Chart 20th April 2009

Silver Chart - Daily Spot Silver Prices 20th April 2009

Silver prices declined sharply last Friday following the spot price of gold as equity markets stabilized and the dollar strengthened and it finished the day with a loss of 38 cents.  For the second day in a row spot silver prices lost more in percentage terms than gold despite market expectations that it would track and benefit from the rebound in copper prices given its dual status both as a precious metal and use in a variety of industrial processes.  This has led some analysts to suggest that Friday’s downward move was the result of technical factors once the $12.00 per ounce price support was breached.

With all three moving averages now pointing lower and with Friday’s close finishing below the $12.00 per ounce level much of this week’s price action will depend on whether the $11.40 region can provide some support and prevent any further falls in silver prices, and from a technical perspective this will be a key area to watch this week.  My trading suggestion for today is to look for small short positions using the hourly and 30 min chart for your entry and exit points, and you may well find some of these this morning given the small rally in spot silver that we are seeing in the London trading session.  As always look for shooting stars or bearish reversal candle patterns.

The short term trend is bearish while medium and long term trends are bullish.

Support:    $11.790 (Friday’s low)                                      Resistance: $12.443 (14 day moving average)

Support:    $11.637 (low of 29/01/09)                                   Resistance: $12.343 (9 day moving average)

Support:    $11.577 (high of 02/01/09)                                  Resistance: $12.270 (Friday’s high)