India: MCX Silver tumbles on dollar recovery

Silver tumbled yesterday on losing lustre of safe haven demand of the metal after al-Qaeda leader Osama bin Laden was killed on Monday.
The Comex raised margin requirement on Silver for the third time since last Monday. It increased maintenance margins for speculators by 11.6 percent per contract.
We expect silver to remain volatile as fundamentals of global uncertainties are still supporting metal where as the recovery in dollar may dampen gains.
The decline in holdings in the iShares Silver Trust, the world's largest silver-backed exchange-traded fund may discourage investors to remain long in the metal. Support in silver can be seen at Rs66500/kg.
Courtesy: Religare Commodities

(Source: http://www.commodityonline.com/futures-trading/technical/MCX-Silver-tumbles-on-dollar-recovery-23534.html)