Silver Price Forecast – Silver Continues to Bounce

Silver Markets Technical Analysis

The silver market rallied a bit during the early hours of Tuesday and at this point in time is threatening the 50 day EMA. If the market were to continue going higher, I don’t see much stopping it from going to the $32 level, and then possibly even as high as $35. Underneath current trading conditions are still supportive, with the $30 level being a massive support level, followed by the 200 day EMA. Keep in mind that silver is extraordinarily volatile, so it’s not a huge surprise to see that we have bounced here, nor would it be a huge surprise to see a little bit of a pullback.

That being said, gold has been rallying and that typically will drag silver right along with it. So, at this point in time, it looks like we are in fact trying to continue the overall uptrend in what has been a pretty bullish asset since March of this year. If we were to somehow break above the $35 level, and I don’t expect that to happen in the short term, that could lead to much bigger things.

Silver, of course, is a bigger contract position size-wise than the gold market. So, make sure you have that settled before you put any money to work. If we were to turn around and break down below the 200 day EMA, which is near the $29 level, that could change a lot of things. But right now, it looks like silver is trying to recover and continue the overall uptrend.

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