Silver Price Outlook – Silver Continues to Pressure the Same Area

Silver Technical Analysis

The silver market had initially fallen pretty significantly during the trading hours on Wednesday in Asian trading but turned around to bounce a bit and test the $33 level. This is in a bit of a divergence from gold markets, which have seen quite a bit of negative pressure. And this might be because silver is an industrial metal as well. And of course, with Trump possibly softening his stance with China in suggesting that a deal would be coming, that suggests to me that perhaps people are looking at the potential demand of silver picking up.

Now, having said that, the $33 level continues to be a major resistance barrier that market participants have paid close attention to over the last couple of days, as well as the previous months going back the last couple of years. So, with that being said, it’s not overly surprising to see that the market is essentially sitting still, especially as we are sitting right at the 50-day EMA, an indicator that does tend to attract a lot of attention anyways.

All things being equal, this looks like a market that is a buy the pullback type of scenario as traders try to pick up cheap ounces of silver. I don’t have any interest in shorting this market as I recognize that the bullish pressure is rather sustained. If we can finally get above the $33 level on a daily close, then we could see silver go racing towards the crucial $35 level, which has been massive resistance a couple of times in the past.

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