Spot silver was trading around $15.202 an ounce in Asian trading on Tuesday. On the day, silver extended its upward trend further, hitting an intraday high of $15.421 an ounce.
Japan will declare a state of emergency as early as Tuesday in Tokyo and six other prefectures and cities to contain the spread of novel coronavirus, according to market sources. And the Japanese government is reportedly preparing to roll out a $990 billion stimulus package to ease the economic impact of the outbreak.
Governments and central Banks around the world have launched unprecedented fiscal and monetary stimulus and other support measures to support economies hit by the COVID 19 pandemic.
Analysts said physical demand continued to dominate the market, supporting precious metals. The massive stimulus effectively diluted the currency, so demand for precious metals came from all directions. Next long can continue to maintain long courage, precious metals may brew a bigger outbreak.
On the daily chart, the dollar index maintained its rally from its recent lows, with the MACD red momentum column expanding slightly and the KDJ random index slightly tilted upward, indicating that the dollar rally momentum remains and may continue to move upward.
On the 4 hour chart, the dollar index after a slight fall, MACD red kinetic energy column unchanged, KDJ random index slightly more pressure, indicating the dollar short – term upward momentum weakened, then or continue to fall slightly.
On the daily chart, silver prices steady upward trend, MACD red kinetic energy column amplification, KDJ random indicators slightly more pressure, indicating that silver prices may continue to maintain the upward trend.
On the 4 hour chart, silver maintained a moderate rally, the MACD red kinetic energy column unchanged, the KDJ random index turned under pressure, indicating that silver may temporarily hold a moderate rally.
fundamentals Positive factors :
- According to statistics from real-time information and data update website world meters, as of 9:34 Beijing time on April 7, the global cumulative number of confirmed COVID 19 cases have exceeded 1.34 million, with 1,346,566 confirmed cases, over 70,000 deaths, 74,697 cases, and 278,695 cases cured.
- The epidemic in the United States is spreading at a faster pace. The latest data shows that as of 9:34, Beijing time, the number of newly confirmed cases in the United States has risen to 367,004, with a total of 10,871 deaths and 19,671 cures. New York state was the hardest-hit state, with 131,916 confirmed cases and 4,758 deaths, according to the data.
- British prime minister Boris Johnson’s condition is reported to have deteriorated and he has been transferred to an intensive care unit. A spokesman for the prime minister said foreign secretary and first minister Alvaro raab had been asked to act as acting prime minister if necessary.
- US President Donald trump said he did not like India’s decision on hydroxychloroquine and may retaliate against India’s decision on drugs.
Fundamental nagetive factors:
- The European Commission is said to be considering relaxing the rules on state aid and is considering a proposal that would allow EU member states to help companies with capital injections.
- Italy reported its lowest death toll in more than two weeks on Sunday. The daily death toll was also falling in France and the number of new cases in Germany fell for the fourth consecutive day.
- April 1 the federal reserve reduced the likelihood of a dollar crunch by expanding the ability of dozens of foreign central Banks to obtain dollars during the novel coronavirus crisis, allowing them to swap their holdings of U.S. debt for overnight loans in dollars.
- Russia’s central bank said it would stop buying gold from April 1, without explaining why.