Silver Price Forecast – Silver Continues to Look Strong on Wednesday

Silver Markets Technical Analysis

The silver market rallied just a bit during the early hours on Wednesday as it looks like we are going to continue to try to drive higher, perhaps looking to the $32.50 level. The $32.50 level, of course, is an area that has been significant resistance a couple of times already. So, I do think that there’s a lot of interest in it.

If we can break above the $32.50 level on a daily close, then I think you’ve got a real shot at the market taking off to the upside and perhaps trying to get to the $35 level over the longer term. All things being equal, a short-term pullback at this point in time makes quite a bit of sense because that gives you more value and therefore people will jump in and try to take advantage of cheap ounces.

The 50-day EMA sits right around the $30.50 level. Below there we have the $30 level, which of course is a large round psychological figure and an area that we’ve seen a lot of noise at previously. Keep in mind that silver will move based on interest rates dropping and of course the US dollar falling.

There are also some effects when it comes to geopolitics because when they get a little less stable, then precious metals do okay. It’s also worth noting that silver is also an industrial metal, so it does have that component as well to a lesser point, which causes some noise.

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