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Silver Bullet In Asia; XAG/USD Jumps 7%

Published 07/04/2016, 02:24 AM
Updated 03/05/2019, 07:15 AM

An emotional start to Monday for precious metals traders in Asia. Silver breaking 20.00 shortly after Shanghai metals opened. XAG/USD then rallied a whopping 7% in ONE hour to around 21.10 as early Chinese demand turned into a stop loss rout. The door is always small when everyone runs for it at once.

Silver Jul 1 To Jul 6,2016

The GOLD/SILVER ratio may also have played its part. Having broken 71.00 on Friday in New York we took out the Friday lows in Asia as well for a spike to 64.00.

Gold/Silver Jun 30 To Jul 5,2016

Calmer heads have since prevailed and Silver now lies at 20.25 still some 2.50% higher on the day.

Interestingly in OANDA Labs, much of the long positioning this morning seems to have been put on post the break of 20.00 as well.

Silver 4 July

Support intra-day will be the New York high at 19.85 with resistance this mornings high around 21.15.

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