Silver lost -0.64% to settled at 59715 on MCX where as Silver in international managed to sustained above $40 an ounce, as technical weakness, a rallying dollar and a broad sell-off of riskier assets prompted bullion investors to take profits. Bullion could pull back sharply if a deal to cut the US deficit dampens market fears. The metal is up about 9% in July on concerns over the euro zone debt crisis and uncertainty ahead of the Aug. 2 deadline to raise the $14.3 trillion US debt ceiling. Sharp losses in the US equity markets and industrial commodities such as crude oil amid US debt fears prompted investors to take profits in the bullion market to cover losses elsewhere. A sharp dollar rally against the euro amid risk aversion also increased volatility and weighed down bullion prices. The euro came under pressure after S&P's cut Greece's sovereign credit rating further into junk territory. Now technically market is trading in the range as RSI for 18days is currently indicating 60.58, where as 50DMA is at 55484.38 and silver is trading above the same and getting support at 59102 and below could see a test of 58490 level, And resistance is now likely to be seen at 60563, a move above could see prices testing 61412.

Trading Ideas:

Silver trading range is 58490-61412.

Silver fell on growing fears of U.S. default and a rallying dollar prompted investors to take profits.

S&P cuts Greece's credit rating to CC from CCC

Silver is having resistance at 60563 and support at 59102 level.