Silver Prices Fall Following Gold Prices Lower

Silver prices moved lower on Friday, following the precious metals complex lower. Geopolitical risks continue to drive price action. On Friday, Russia announced that it would come to the table and talk. Gold prices were also lower along with the dollar. U.S. Treasury yields increased slightly following robust consumer spending numbers.

Ahead of the weekend, Russian Foreign Minister Sergei Lavrov said Moscow would be ready to hold talks with Kyiv, but only once Ukraine’s military had laid down its arms. The White House and the EU lade out several new sanctions, but they have yet to sanction Putin.

The Commerce Department reported on Friday that U.S. consumer spending rose in January. Spending rose 2.1% in January from the previous month, bouncing back from a revised 0.8% decline in December. The Commerce Department uses inflation metrics that differ from the Labor Department. The Personal Consumption Expenditures index rose to 6.1% in January from a year earlier

Technical Analysis

On Friday, silver prices moved lower. Support is seen near the 10-day moving average at 23.93. Resistance is seen near the 200-day moving average of 24.21. Short-term momentum turns negative as the fast stochastic generates a crossover sell signal. The fast stochastic is printing a reading of 41.

Medium-term momentum is positive but decelerating as MACD (moving average convergence divergence) index had a crossover buy signal. MACD histogram prints in positive territory with a declining trajectory, pointing to consolidation.