Silver Price Forecast – Silver Gives Up Early Gains on Thursday

Silver Markets Technical Analysis

The silver market initially tried to rally during the trading session on Thursday, but as you can see has fallen yet again and looks miserable. I think at this point in time, it’s going to come down to the US dollar and what it’s doing to not only silver but other commodity markets as well. Now that we are breaking below the 200 day EMA, this could in fact be a major shift in what we are seeing. The market dropping from here could open up a move down to the $27 level given enough time, but we’ll just have to wait and see how that plays out.

Ultimately, I think you’ve got a scenario where if silver does stay below the 200 day EMA, I think a lot of people are going to somewhat panic, especially considering how bullish it’s been all year. I also think that there are probably people out there that would be willing to get out of the market now and reset for next year.

Remember, liquidity is going to be an issue sooner or later. And of course, silver is a wild market to begin with. Watch interest rates if they continue to climb in America, in the bond market, that will put significant negative pressure on silver. As things stand right now, it looks like a sell the rally type of situation.

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