Silver markets find resistance on Thursday

Silver markets tried to rally during the session on Thursday but found the $16.50 level to be a bit too expensive for the market to continue to go higher. Now that we have rolled over and it looks as if we will form a bit of a shooting star for the daily candle, I think that the market is looking to go lower, perhaps in anticipation of a stronger US dollar, exacerbated by a strong jobs number. This leads people to think that the interest rates will go higher in America, and that of course helps the greenback.

Ultimately, that suggests that the value of precious metals must go lower, because the markets are priced in those very US dollars. Alternately, if the jobs number is a huge mess, we could see Silver try to break above the $16.60 level, which is short-term resistance. A move above there could open the door to $16.75, and then $17 level. Longer-term, I do like silver, but I think that the market will probably fall in the short term, perhaps testing the $16 level yet again. I believe that there is massive support underneath that level, extending down to the $15.50 level which shows on the longer-term weekly and monthly charts. I believe that we will eventually go looking towards the $20 level above, which of course is massive resistance from both a structural and psychological standpoint.

SILVER Video 04.05.18