Silver Spot Price - Daily Candle Chart 16th February 2009

Silver Spot Price - Daily Candle Chart 16th February 2009

Spot silver prices finished higher on Friday managing to avoid profit taking that hit spot gold. As a cheaper alternative to gold, silver is also bought as a flight to safety, but analysts point that in the past half year it has lagged gold prices, due to slowing industrial demand in a weaker economy. So it’s only natural for silver to find better support from hopes that the economic stimulus package will revive the industrial demand again.Today is a public holiday in both the US and Canada for Presidents Day, so I would suggest that you stay out of the market for today, and wait and see what candle we have on the daily chart before we open new positions. The moving averages are all pointing higher so the trend we have seen in the last few weeks is continuing strongly for spot silver prices.

The short, medium and long term trends are all bullish.

Support:    $13.230 (Friday’s low)                                      Resistance: $13.910 (high of 29/08/08)

Support:    $13.092 (low of 11/02/09)                                  Resistance: $13.780 (high of 25/09/08)

Support:    $12.870 (14 day moving average)                             Resistance: $13.712 (Friday’s high)