Silver Price Forecast – Silver Consolidates in The Early Part of Friday Trading

Silver Markets Technical Analysis

The silver market has gone back and forth during the trading session in the early hours on Friday as Thursday was so massive. I think at this point we’re probably going to have to digest a bit of the gains. A short-term pullback is most certainly possible, but I think that short-term pullback ends up being a nice buying opportunity.

I see the $33.33 level as a potential support level based upon previous resistance. All things being equal though, we are most certainly looking at a market that is likely to go higher, perhaps trying to reach the crucial $35 level above that acted as a bit of a ceiling previously. This would allow “market memory” to be tested in this area.

Ultimately, I do think this is a market that is likely to continue to find buyers based on the shrinking US dollar and of course the idea that the World needs a bit of safety via precious metals granted gold is a better bet in that scenario, but silver does tend to follow it over the longer term and as long as that’s going to be the case, I think you have to look at this as a long only time of situation that doesn’t necessarily mean that you buy here, but dips should continue to attract people that are willing to jump in and take advantage of cheap ounces of silver. Buying at these higher levels could be an issue, but obviously we only want to be buyers, and not short.

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