Technically Silver market is under short covering as market has witnessed drop in open interest by 5.39% to settled at 9610 while prices up 332 rupees.
Now MCX Silver is getting support at 46484 and below same could see a test of 46057 level, and resistance is now likely to be seen at 47164, a move above could see prices testing 47417.
Silver on MCX settled up 0.71% at 46911 as signs of renewed U.S.-Iranian tensions scuttled a rally triggered by a U.S. labor report showing a strong economy despite slowing job growth in December.
U.S. President Donald Trump said he opted to impose new economic sanctions on Iran rather than calling for military action against the country. Investors’ appetite for riskier assets improved as the move cooled down the tensions between the two countries and a war in the Middle East became more unlikely.
China’s Vice Premier Liu He, head of the country’s negotiation team in China-U.S. trade talks, is set to visit Washington next week to sign a trade deal with the U.S. Strong US employment data on Thursday also helped lift sentiment.Initial claims for state unemployment benefits dropped 9,000 to a seasonally adjusted 214,000 for the week ended January 4, the Labor Department said. That’s better than the expected print of 220,000.
This came after stronger-than-expected private payroll numbers released. ADP and Moody’s Analytics said US private payrolls increased by 202,000 in December, topping a Dow Jones estimate of 150,000. German factory output posted its biggest increase in a year and a half in November, rising 1.1%