Special Report: SILVER
Date: December 4, 2023
WEEKLY TREND: UP
HISTORCIAL CHANGES IN SILVER PRICES
|
Year |
December-1 |
January-31 |
Percentage Change |
|
2014 - 2015 |
$ 14.731 |
$ 17.225 |
+ 16.93% |
|
2015 - 2016 |
$ 15.058 |
$ 14.240 |
+ 1.29% |
|
2016 - 2017 |
$ 16.453 |
$ 17.499 |
+ 6.36% |
|
2017 - 2018 |
$ 16.408 |
$ 17.320 |
+ 5.56% |
|
2018 - 2019 |
$ 14.237 |
$ 16.010 |
+ 12.45% |
|
2019 - 2020 |
$ 16.981 |
$ 18.017 |
+ 6.10% |
|
2020 - 2021 |
$ 22.623 |
$ 28.572 |
+ 26.30% |
|
2021 - 2022 |
$ 22.766 |
$ 22.440 |
- 1.43% |
|
2022 - 2023 |
$ 22.312 |
$ 23.640 |
+ 5.95% |
|
Average Price Increase |
+ 8.83% |
Data Source: Fortrade MetaTrader 4
The table above tells us that silver prices historically rose in the period between December 1 and January 31. After calculating the average price changes over the same period starting 2014- 2015 period, we found an average increase of 8.83%.
However, please note that past performance does not guarantee future results.
- US Nonfarm Payrolls (Friday, December 8 at 13:30 GMT)
The United States will be releasing nonfarm payrolls and unemployment. Nonfarm payrolls have been trending lower recently, while unemployment has been inching higher. If the Nonfarm payrolls continue to fall while unemployment rises, there could be extended US dollar weakness and may push silver higher.
- US Inflation (Tuesday, December 12 at 13:30 GMT)
The United States will report its CPI for November. October CPI came in at 3.2%, Year-over-Year, well below its peak of 9.1% peak in 2022. Inflation continues to fall, with levels approaching the Federal Reserve’s 2% target. The lower inflation could be positive for silver, as the US dollar could weaken.
- US Federal Reserve Interest Rate Decision (Wednesday, December 13 at 19:00 GMT)
The Federal Reserve Bank will meet on December 13th to set the Fed Funds rate target. According to the most recent estimates, analysts are expecting the Federal Reserve to hold interest rates at the current level of 5.50%. Jerome Powell will hold a press conference following the Interest Rate decision at 19:30 GMT to answer potential questions and clarify the Federal Reserve’s stance on interest rate policy.
- Silver prices supported by a softer dollar and renewed interest in non-yielding instruments
Silver price supported by a softer dollar and renewed interest in non-yielding instruments, as markets increasingly put on the beginning of rate cuts by the Fed in 2024. Concerns over the supply of industrial silver against the backdrop of robust demand also lifted prices. The Silver Institute stated that global mined silver production is expected to drop by 2% in 2023, largely due to lower output from key producers Mexico and Peru. Rising investment in solar panels, power grids, and 5G networks drove market players to forecast an 8%-10% increase in silver demand.
Silver, December 4, 2023
Current Price: 25.10
|
SILVER |
Weekly |
|
Trend direction |
|
|
28.00 |
|
|
27.00 |
|
|
26.00 |
|
|
24.30 |
|
|
24.00 |
|
|
23.70 |
Example of calculation based on trend direction for 1.00 Lot*
|
SILVER |
||||||
|
Pivot Points |
||||||
|
Profit or loss in $ |
29,000.00 |
19,000.00 |
9,000.00 |
-8,000.00 |
-11,000.00 |
-14,000.00 |
|
Profit or loss in €2 |
26,677.09 |
17,478.09 |
8,279.10 |
-7,359.20 |
-10,118.90 |
-12,878.60 |
|
Profit or loss in £2 |
22,888.08 |
14,995.64 |
7,103.20 |
-6,313.95 |
-8,681.69 |
-11,049.42 |
|
Profit or loss in C$2 |
39,242.66 |
25,710.71 |
12,178.76 |
-10,825.56 |
-14,885.15 |
-18,944.73 |
1. 1.00 lot is equivalent of 10.000 units
2. Calculations for exchange rate used as of 14:30 (GMT) 04/12/2023
Fortrade recommends the use of Stop-Loss and Take-Profit, please speak to your Senior Account ManagerClient Manager regarding their use.
- You may wish to consider closing your position in profit, even if it is lower than suggested one
- Trailing stop technique can protect the profit – Ask your Senior Account ManagerClient Manager for more detail