Silver Price Forecast: XAG/USD wobbles below $33 as investors seek development in US-China trade

Fonte Fxstreet
  • Silver price consolidates around $32.50 as investors look for fresh development in trade talks between the US and China.
  • The White House has expressed confidence in the US-China trade deal.
  • The tussle between Trump and Fed Powell keeps the US Dollar on the backfoot.

Silver price (XAG/USD) trades sideways around $32.50 during European trading hours on Tuesday. The white metal has turned sideways over the last three trading days as investors look for fresh development in trade relations between the United States (US) and China.

In the second week of this month, US President Donald Trump announced a sudden 90-day pause in the execution of reciprocal tariffs but kept enormous duties on China for retaliation by imposing similar levies on imports from the US.

Meanwhile, Washington has expressed optimism over the US-China trade deal. “We're confident it will work out with China,” US Commerce Secretary Howard Lutnick said over the weekend.

Still, investors are cautious over the US-China trade relations as the fight between Trump and China is more of a “dignity” issue than a "level of tariffs" issue. The scenario of a tussle between the US and China for the longer term will be favorable for safe-haven assets, such as Silver. Historically, precious metals perform strongly in times of heightened global economic tensions.

Last week, White House press secretary Karoline Leavitt said that the President is open to a trade deal with Beijing, but it should make the first move. "The ball is in China’s court: China needs to make a deal with us, we don’t have to make a deal with them,” Leavitt said, Reuters reported.

Meanwhile, the deepening feud between Donald Trump and Federal Reserve (Fed) Chair Jerome Powell over the interest rate policy has battered the US Dollar (USD) badly. Technically, a lower US Dollar makes the Silver price a value bet for investors.

Silver technical analysis

Silver price trades back-and-forth in a range between $32.08 and $33.12 since Wednesday. The white metal turns sideways after a strong upside move since April 7. The 20-day Exponential Moving Average (EMA) near $32.00 continues to provide support to the Silver price.

The 14-day Relative Strength Index (RSI) oscillates in the 40.00-60.00 range, indicating a volatility contraction.

Looking up, the March 28 high of $34.60 will act as key resistance for the metal. On the downside, the April 111 low of $30.90 will be the key support zone.

Silver daily chart

 

Silver FAQs

Silver is a precious metal highly traded among investors. It has been historically used as a store of value and a medium of exchange. Although less popular than Gold, traders may turn to Silver to diversify their investment portfolio, for its intrinsic value or as a potential hedge during high-inflation periods. Investors can buy physical Silver, in coins or in bars, or trade it through vehicles such as Exchange Traded Funds, which track its price on international markets.

Silver prices can move due to a wide range of factors. Geopolitical instability or fears of a deep recession can make Silver price escalate due to its safe-haven status, although to a lesser extent than Gold's. As a yieldless asset, Silver tends to rise with lower interest rates. Its moves also depend on how the US Dollar (USD) behaves as the asset is priced in dollars (XAG/USD). A strong Dollar tends to keep the price of Silver at bay, whereas a weaker Dollar is likely to propel prices up. Other factors such as investment demand, mining supply – Silver is much more abundant than Gold – and recycling rates can also affect prices.

Silver is widely used in industry, particularly in sectors such as electronics or solar energy, as it has one of the highest electric conductivity of all metals – more than Copper and Gold. A surge in demand can increase prices, while a decline tends to lower them. Dynamics in the US, Chinese and Indian economies can also contribute to price swings: for the US and particularly China, their big industrial sectors use Silver in various processes; in India, consumers’ demand for the precious metal for jewellery also plays a key role in setting prices.

Silver prices tend to follow Gold's moves. When Gold prices rise, Silver typically follows suit, as their status as safe-haven assets is similar. The Gold/Silver ratio, which shows the number of ounces of Silver needed to equal the value of one ounce of Gold, may help to determine the relative valuation between both metals. Some investors may consider a high ratio as an indicator that Silver is undervalued, or Gold is overvalued. On the contrary, a low ratio might suggest that Gold is undervalued relative to Silver.


Isenção de responsabilidade: Apenas para fins informativos. O desempenho passado não é indicativo de resultados futuros.
placeholder
Ouro recua de máximas históricas enquanto investidores adotam cautela diante da recuperação do dólarOuro (XAU/USD) prolonga tendência de alta dos últimas duas semanas e atinge pico histórico inédito, na região de US$ 3.546-3.547 durante a sessão asiática desta quarta-feira.
Autor  FXStreet
13 horas atrás
Ouro (XAU/USD) prolonga tendência de alta dos últimas duas semanas e atinge pico histórico inédito, na região de US$ 3.546-3.547 durante a sessão asiática desta quarta-feira.
placeholder
Previsão dos 3 Maiores Preços: Bitcoin, Ethereum, Ripple – BTC, ETH e XRP se recuperam enquanto sentimento do mercado se estabilizaO preço do Bitcoin (BTC) continua em recuperação e negocia acima de US$ 110 mil nesta quarta-feira, após correções recentes.
Autor  FXStreet
13 horas atrás
O preço do Bitcoin (BTC) continua em recuperação e negocia acima de US$ 110 mil nesta quarta-feira, após correções recentes.
placeholder
RBVA11 vende ativos para quitar dívida; GGRC11 anuncia dividendo de R$ 0,10 e avalia aquisiçãoO fundo de investimento imobiliário Rio Bravo Renda Varejo (RBVA11) divulgou seu relatório gerencial referente ao mês de julho, informando um resultado líquido de R$ 12,585 milhões. O valor foi inferior ao registrado em junho, de R$ 15,236 milhões.
Autor  Pedro Augusto Prazeres
16 horas atrás
O fundo de investimento imobiliário Rio Bravo Renda Varejo (RBVA11) divulgou seu relatório gerencial referente ao mês de julho, informando um resultado líquido de R$ 12,585 milhões. O valor foi inferior ao registrado em junho, de R$ 15,236 milhões.
placeholder
Risco político derruba ações do Banco do Brasil (BBAS3); Ibovespa recua com incerteza sobre tarifas nos EUAAs ações do Banco do Brasil (BBAS3) estiveram entre os principais destaques de baixa do Ibovespa na sessão desta terça-feira (2/9), com os investidores monitorando o julgamento do ex-presidente Jair Bolsonaro no Supremo Tribunal Federal (STF).
Autor  Pedro Augusto Prazeres
17 horas atrás
As ações do Banco do Brasil (BBAS3) estiveram entre os principais destaques de baixa do Ibovespa na sessão desta terça-feira (2/9), com os investidores monitorando o julgamento do ex-presidente Jair Bolsonaro no Supremo Tribunal Federal (STF).
placeholder
Bitcoin (BTC) sobe para US$ 110 mil, mas dados on-chain apontam para uma estrutura de mercado 'frágil'O preço do Bitcoin (BTC) apresentou uma recuperação nesta terça-feira (2/9), com uma alta de 2,4% nas últimas 24 horas que o levou a ser negociado novamente acima do patamar de US$ 110.000.
Autor  Pedro Augusto Prazeres
17 horas atrás
O preço do Bitcoin (BTC) apresentou uma recuperação nesta terça-feira (2/9), com uma alta de 2,4% nas últimas 24 horas que o levou a ser negociado novamente acima do patamar de US$ 110.000.
Produtos relacionados
goTop
quote