Technically, LBMA Silver Spot is trading on a flat note and trading below 21 as well as 50-Daily Moving Average indicating a negative trend in the counter.
Silver futures prices tumble to Rs 60,278 per kg on October 15 as participants increased their short positions as seen in the open interest data. The precious metal had gained 1.1 percent yesterday on the COMEX.
Silver prices extended loss in the afternoon session tracking firm dollar and uncertainty relating to US stimulus. The US dollar index trades firm at 93.72 levels up 0.38 percent.
Silver holdings in iShares ETF were unchanged at 17,527.43 tonnes.
Sriram Iyer, Senior Research Analyst at Reliance Securities said, “International silver spot prices were weak this Thursday afternoon in Asian trade as the dollar gained strength. Weakness in the base metals sectors also weighed on silver this Thursday afternoon trade.”
Technically, LBMA Silver Spot is trading on a flat note and trading below 21 as well as 50-Daily Moving Average indicating a negative trend in the counter. Resistance is placed at $24.50-$25.20 levels and Support is at $23.80-$22.90 levels.
Domestic silver futures on MCX tracked international prices and was trading with modest losses this Thursday afternoon trade.
MCX iCOMDEX Bullion Index dropped 128.53 points, or 0.83 percent, at 15,365.04 at 15:05. The index tracks the real-time performance of MCX Gold and MCX Silver futures.
In the futures market, silver for December delivery touched an intraday high of Rs 61,320 and a low of Rs 60,150 per kg on the MCX. So far in the current series, the precious metal has touched a low of Rs 49,415 and a high of Rs 79,723.
Silver delivery for December contract edged lower Rs 1,241, or 2.01 percent to Rs 60,278 per kg at 15:06 hours with a business turnover of 15,764 lots. The same for the March contract fell Rs 1,264, or 1.99 percent, to Rs 62,155 per kg with a turnover of 987 lots.
The value of December and March’s contracts traded so far is Rs 1,462.25 crore and Rs 7.52 crore, respectively.
The spot gold/silver ratio currently stands at 79.36 to 1 indicating that gold has outperformed silver.
Technically, MCX Silver December holds a resistance near Rs 61,500 levels below which will continue its sideways to marginal downside momentum up to Rs 59,500-57,600 levels, said Iyer.
Anuj Gupta - DVP- Commodities and Currencies Research, Angel Broking Ltd said, “As for today traders can go for sell in Silver at Rs 61,200 levels, with the stop loss of Rs 61,700 levels and for the target of Rs 59,800 levels.”
At 09:40 (GMT), the precious metal declined 2.05 percent quoting at $23.89 an ounce in New York.For all commodities related news, click here