Silver
November 28, 2024
Risk Disclaimer: The example below is for illustrative purposes only and is based on price movements derived from Contracts for Difference (CFDs). The calculations reflect hypothetical outcomes using historical or specified price data for the relevant instrument on the stated date and are not indicative of future performance. Any reliance placed on this material is strictly at the user’s own risk.
Silver Weekly Special Report based on 1.00 Lot Calculation:
EVENTS:
- FRIDAY, DECEMBER 6 AT 13:30 GMT: US NONFARM PAYROLLS AND UNEMPLOYMENT RATE (NOVEMBER). The US Unemployment rate is expected to stay above 4%. This could further support market expectations that the Fed could cut interest rates by 25 basis points in December.
- WEDNESDAY, DECEMBER 11, AT 13:30 GMT: U.S INFLATION (CPI) (NOVEMBER): The U.S is scheduled to report its CPI figure for the month of November. The CPI inflation data from the last month of October came out at 2.6%, up from the 2.4% in September. If it comes below the recent 2.6%, then Silver could be expected to rise in value.
CENTRAL BANKS: INTEREST RATE CUT DECISION
- BREAKING (NOVEMBER 7): FEDERAL RESERVE ANNOUNCED ITS SECOND INTEREST RATE CUT IN 2024. The US Federal Reserve decided to cut its benchmark interest rate by 0.50% points in September and 0.25% points in November. The bank expects to cut rates one more time in 2024 to slash its benchmark rate to 4.5% by the end of 2024. The bank expects rates to fall to 3.5% in 2025 and further down to 2.9% in 2026.
- NEXT FED INTEREST RATE DECISION: December 18, 2024 at 19:00 GMT. As of November 28, the market sees high chances for 25 basis points interest rates cut. This could bring current rates of 4.75% down to 4.50%.
SEASONAL TRADE: DECEMBER - JANUARY (2014- 2024)
- STATISTICS: SILVER ROSE 6.98% ON AVERAGE BETWEEN DECEMBER AND JANUARY (2014- 2024)
Data Source: MetaTrader 4 Platform
Please note that past performance does not guarantee future results
TECHNICAL ANALYSIS:
- STRONG SUPPORT AT $30. Silver has maintained strong support at $30 since May 2024. Since then, Silver would resist staying below $30 as bargain hunters come back to send price up back above $30.
ANALYST EXPECTATIONS
- UBS: The bank targets a price of $36.
- CITIGROUP: The bank targets a price of $40.
- JP Morgan: The bank targets a price of $34.
PRICE ACTION
- ALL-TIME HIGH PRICE: $49.80. Silver jumped to $49.80 in 2011, during the debt crisis in Europe. Currently, Silver trades around $29.80 and if full recovery is made this could offer an upside potential of around 67%. However, the price could decline further.
Silver, November 28, 2024
Current Price: 29.80
|
SILVER |
Weekly |
|
Trend direction |
|
|
49.8 |
|
|
40.0 |
|
|
31.0 |
|
|
28.7 |
|
|
28.4 |
|
|
28.0 |
Example of calculation based on trend direction for 1.00 Lot*
|
SILVER |
||||||
|
Pivot Points |
||||||
|
Profit or loss in $ |
200,000.00 |
102,000.00 |
12,000.00 |
-11,000.00 |
-14,500.00 |
-18,000.00 |
|
Profit or loss in €2 |
189,890.00 |
96,843.90 |
11,393.40 |
-10,443.95 |
-13,767.03 |
-17,090.10 |
|
Profit or loss in £2 |
158,104.00 |
80,633.04 |
9,486.24 |
-8,695.72 |
-11,462.54 |
-14,229.36 |
|
Profit or loss in C$2 |
280,512.00 |
143,061.12 |
16,830.72 |
-15,428.16 |
-20,337.12 |
-25,246.08 |
1. 1.00 lot is equivalent of 10.000 units
2. Calculations for exchange rate used as of 9:35 (GMT) 28/11/2024
There is a possibility to use Stop-Loss and Take-Profit.
- You may wish to consider closing your position in profit, even if it is lower than suggested one.
- Trailing stop technique could protect the profit.
