Spot Silver Prices Today - Daily Chart 23rd January 2009

Spot Silver Prices Today - Daily Chart 23rd January 2009

Following gold prices, spot silver moved higher yesterday gaining 4 cents with the chart now showing the 9 day moving average crossing above the 14 day moving average. In recent months it was often the case for silver to lag gold, due to a declining industrial demand but yesterday’s performance for the price of silver could be described as steady, given renewed worries about China’s softening economy, a big consumer of industrial metals which usually adds pressure on silver prices.

Interestingly, a recent report from India’s National Commodity and Derivatives Exchange (NCDEX) suggests that despite the current supply surplus of silver and the economic downturn in many countries, it is forecasting that silver ETF’s ( Exchange Traded Funds) will perform well in 2009. Any bullish move in gold prices will be replicated in silver, with spot silver prices often outperforming gold on a percentage basis. As always with the price of silver, it is a fine balance between the industrial demand and the investment opportunities, but with the overwhelming response in the ETF’s and the turn around in the net fund long position, ” the attraction that silver offers as an investment metal cannot be denied,” the report said.

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

Support:    $11.210 (yesterday’s low)                                   Resistance: $11.600 (high of 09/01/09)

Support:    $11.050 (low of 21/01/09)                                   Resistance: $11.540 (high of 06/01/09)

Support:    $10.693 (40 day moving average)                             Resistance: $11.505 (yesterday’s high)