Silver Price Forecast – Silver Continues to See Troubles

Silver Markets Technical Analysis

The silver market initially shot higher during the trading session on Friday and even reacted fairly strongly to the weaker than anticipated jobs numbers as the US dollar got hammered. However, we have since seen the market fail at the 50 day EMA and completely fall apart. Keep in mind that silver is not gold and I think a lot of people are unfortunately learning that on Friday.

They play silver because it’s cheaper in its price. And therefore, they think that they can buy more of it and really jack up their leverage. And while that is true to a point, it also means you can get your face ripped off. And that is essentially what’s happening to most of the people that jumped in right away after the Bureau of Labor Statistics announced that the United States added 114,000 jobs last month, instead of the expected 175,000.

That being said, I don’t think the uptrend in silver is necessarily over, but you have to keep in mind that it is also an industrial, and that makes a big difference. Gold, safety, silver, industry, and maybe a little bit of safety, just not enough to turn things around. The $28 level down to the $27.50 level could be supported. If we can turn around and recapture the $28.50 level, then we might threaten the 50-day EMA again, but right now this is a pretty miserable looking market. Whether or not that continues remains to be seen. This is a market that will often shake a lot of traders out, only to turn right back around. Trade accordingly.

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