Silver Price Forecast – Silver Takes Off on Friday

Silver Price Forecast Video for 13.03.23

Silver Markets Technical Analysis

Silver has initially pulled back just a bit against the US dollar during early trading on Friday, but then shot higher as traders read the employment figures. At this point, it’s interesting to see that we are racing toward the top of a very bearish candlestick, which is sitting just around the $21 level. At this point, we need to wait and see whether or not the market sees any selling pressure, because I suspect that this is a short-term bounce.

Further adding credence to that idea on the chart via technical analysis is the fact that the 50-Day EMA is getting close to breaking down below the 200-Day EMA, which of course is a longer-term bearish signal called a “death cross.” Also, there is a cluster of noise right around the $21 level, so I think it is going to be difficult to break above there. If we can break above the $21.33 level, then we may make a run toward those moving averages. The size of the candlestick is rather bullish, but we are only about halfway to the top of that major selloff candlestick on Tuesday that formed after Jerome Powell reiterated his desire to not only have higher interest rates, but perhaps for longer than people anticipated, and perhaps in quicker succession as far as hikes are concerned.

If we turn around and fall below here, wiping out the $20 level, does make a lot of sense that we could go down to the $19 level. After that, the market could really start to pull apart, heading down to the $18 level. I don’t necessarily think that this is going to be an easy or quick move, but it’s obvious that we continue to grind lower and as long as interest rates in America continue to look rather strong, that will work again silver. Keep in mind that there is a major negative correlation between the US dollar and silver, as well as between interest rates and silver, so those are markets that you should pay close attention to. Either way, it’s more likely than not going to be very choppy and difficult trading ahead.

For a look at all of today’s economic events, check out our economic calendar.