Spot Silver Price Chart - Daily Silver Prices 8th July 2009

Spot Silver Price Chart - Daily Silver Prices 8th July 2009

As with spot gold prices spot silver too finished lower in reaction to a slightly firmer US Dollar whose fortunes found some favour given that its fate is not on the agenda at this week’s G8 summit.  Overall silver prices lost 22 cents, overtaking gold in percentage terms, and struggling to stay above the $13.00 per ounce price point.  From a technical perspective Monday’s hammer candle failed to produce any move higher whatsoever and therefore and this signal can therefore be ignored as a result of Tuesday’s price action with the daily candle on the silver chart ending as a down bar in a firmly bearish pattern.   With both the 9 and 14 day moving averages pointing sharply lower and with the 40 day also now turning, the support levels at $13.00 and $12.60 will now prove critical is silver prices are to avoid a much deeper move lower.  Should these levels also fail then we could see spot silver move to re-test the $12.00 per ounce region last seen in mid May.

The short term trend is bearish, the medium term trend is sideways while the long term trend is bullish.

Support:    $13.040 (yesterday’s low)                                   Resistance: $13.592 (high of 05/05/09)

Support:    $12.980 (low of 05/05/09)                                   Resistance: $13.447 (high of 06/07/09)

Support:    $12.780 (low of 27/04/09)                                   Resistance: $13.380 (yesterday’s high)