Gold Silver Reports — Technically Silver market is under short covering as market has witnessed drop in open interest by 6.25% to settled at 12607 while prices up 821 rupees.
Now MCX Silver is getting support at 41510 and below same could see a test of 40800 level, And resistance is now likely to be seen at 42560, a move above could see prices testing 42910.
Silver on MCX settled up 1.98% at 42187 tracking gains from Comex Silver which was up 2.1 percent at $18.29 an ounce after marking its lowest in more than two weeks at $17.71 in the previous session as investors fled risk assets and sought refuge in safe-haven gold amid rising geopolitical tensions.
Global tensions escalated as Western countries were joined by Middle Eastern allies in a push to isolate Syrian President Bashar al-Assad following a chemical attack in the country last week. Uncertainty about the result of the upcoming French presidential election and possible U.S. military strikes against Syria and North Korea also boosted demand for safe-haven assets among jittery investors.
Meanwhile, the Federal Reserve plans to raise U.S. interest rates gradually so as to sustain healthy growth without letting the economy overheat, Fed Chair Janet Yellen said on Monday. Rising interest rates lift the opportunity cost of holding non-yielding bullion. From India Wedding season demand at the domestic spot market gave more upside.
Also Latest holdings of the largest silver-backed exchange-traded-fund (ETF), New York’s iShares Silver Trust SLV, stood at 10,208.21 tonnes, remain unchanged from previous business day. In the week ahead, investors will be eyeing to Friday’s U.S. data on retail sales and inflation ahead of the long Easter weekend.