Silver Price Forecast – Silver Continues to See Buyers

Silver Markets Technical Analysis

The silver market initially pulled back slightly during Tuesday’s trading session but quickly turned around, showing renewed strength. Overall, this market continues to fluctuate as traders try to determine the next direction. There is considerable noise in the current price region, making it difficult to establish a clear trend. However, it is worth noting that silver has shown resilience, refusing to decline for any significant period.

While silver is a precious metal, it also serves an industrial function, which may be slightly working against it. The 50-day EMA, located near the $31.55 level, acts as a support floor. A break above the $33.33 level could open the door for a move toward the $35 mark. This is the latest swing high that the market has seen, and it should be considered to be important at this point in the cycle.

Looking at the longer-term chart, silver has exhibited considerable volatility but remains in an overall uptrend. The continued weakening of the U.S. dollar has been supportive, as silver is priced in dollars. Recent trading sessions have shown an increase in volume, which makes sense given that the market is attempting to break out above the latest swing high. At this time, I have no interest in shorting silver as long as it remains above the $31 level, making it non-consideration for now, but this is a level that if we broke below, I would have to rethink the entire set up in the market and where silver might be going over the longer-term.

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