Silver Price Forecast – Silver Continues to See Volatility

Silver Markets Technical Analysis

Silver has plunged a bit during the early hours on Monday, but we’ve seen a complete reversal as I think at this point in time, most of what we saw in the precious metals sector had more to do with raising liquidity as people were in serious trouble after the tariff announcement over the weekend. After all, most of these larger institutions are levered insanely, so what happens is they have to close out winning positions in order to take some of that cash and apply it to other positions.

With all of that being said, we have returned to where we opened up at, and this, of course, is a pretty healthy sign. It suggests that silver will go higher over the longer term, but right now, I am still a little bit hesitant to get overly exposed to silver, although you can certainly make a significant argument for buying dips for short-term trades.

Longer term, if we can continue to go higher, then the $32.35 level is our target. It is interesting that during this massive sell-off, we did find support near the 50-day EMA and turned around completely. By doing so, it’s a nice technical bounce and it does suggest that we still have a pretty significant upwards momentum coming into the market from a short-term perspective. I have no interest in shorting silver at the moment, but I don’t necessarily want to buy a huge position either.

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