Silver Price Forecast – Silver Bounces Into The Weekend

Silver Markets Technical Analysis

The silver market broke higher during the trading session, as we are now looking at the 200-day EMA through the prism of support. If we can break back above the $30 level, I think that’s a very strong sign. All things being equal, this is a market that given enough time, I think we’ll have to make a decision, but most of what we’ve seen recently has been a direct reaction to Jerome Powell and a lot of how he flubbed the press conference on Wednesday.

Ultimately, I think this is a scenario where short-term pullbacks probably get bought into, but if we give up the $28.50 level, we probably drop quite drastically. That doesn’t mean that the move higher is going to be easy. It’s just that it’s a very real possibility. At the very least, we are oversold in the short term, so it’ll be interesting to see how this plays out.

Pay attention to the US dollar. If it really starts to strengthen again, that could be a sign that silver is about to get pummeled. The same thing with the interest rates in America, if they start to spike viciously, that means silver will probably get pummeled there as well. It looks like we are trying to hang on to the overall uptrend in a repeat of what happened in August.

So, this is interesting, but right now, you’re probably better off accepting the fact that liquidity might be an issue for a minute here as we go through the holidays and just simply observe. If we bounce back quite nicely, then that probably means that silver rallies into the next year.

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