Silver and other precious metals enjoyed safe-haven demand as the equities market plunged into a correction. The metal also maintained its momentum as the Federal Reserve lowered its interest rate outlook to only one or two hikes this year from a previously expected four rate hikes.
“There has been a lot of ‘play’ around the 200-day MA, with several days failing to close above (only twice it has, fractionally) during the past couple of weeks. We are definitely seeing this moving average exert its influence. If silver can free itself from the 200-day, a break to the 8/18 high at 17.32 can unfold, which depending on the timing may be in confluence with the trend-line running down off the July 2016 high,” according to DailyFX.
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