Silver 1 OZ 999 NY (XAG=X) may give healthy returns in the latter part of 2019

Silver 1 OZ 999 NY (XAG=X) may give healthy returns in the latter part of 2019

Silver 1 OZ 999 NY (XAG=X) may give healthy returns in the latter part of 2019

The price of silver in comparison with the price of gold is at a 26-year low. The ratio of gold price to silver price is currently around 90, the highest after March 1993. A higher ratio indicates that silver is much cheaper than gold. If silver is so cheap relative to gold, should investors consider buying the precious metal?

The ratio, calculated by dividing the current price of gold by the price of silver, indicates how the two metals are performing against each other.

Investing in silver could give 20 per cent returns in 2019. India’s silver investment market size was 1,680 tonnes in 2018 making India the world’s largest investor in silver.

The demand for sliver in India is price sensitive and traditional investors also keep a portion of investment for trading or buying low and selling high.

Overall, the bias in prices is: Sideways.

The projected upper bound is: 15.23.

The projected lower bound is: 14.50.

The projected closing price is: 14.87.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 7 white candles and 3 black candles for a net of 4 white candles. During the past 50 bars, there have been 29 white candles and 19 black candles for a net of 10 white candles.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 43.7290. This is not an overbought or oversold reading. The last signal was a buy 1 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 55.23. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 19 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 89. This is not a topping or bottoming area. The last signal was a sell 4 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 11 period(s) ago.

Rex Takasugi – TD Profile

PREC.M.XAG= closed down -0.030 at 14.870. Volume was -0% below average (neutral) and Bollinger Bands were 2% narrower than normal.

Open High Low Close Volume___
14.900 15.115 14.750 14.870 0

Technical Outlook
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bearish

Moving Averages: 10-period 50-period 200-period
Close: 14.81 14.79 14.92
Volatility: 18 16 17
Volume: 0 0 0

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

PREC.M.XAG= is currently 0.3% below its 200-period moving average and is in an upward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect very strong flows of volume into XAG= (bullish). Our trend forecasting oscillators are currently bullish on XAG= and have had this outlook for the last 7 periods.

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