Silver Price Outlook – Silver Continues to See Noisy Consolidation

Silver Markets Technical Analysis

The silver market rallied just a bit during the early hours on Thursday, reaching the 50 day EMA, but pulling back just a bit. Keep in mind that although there are a lot of geopolitical risks out there, traders tend to block gold, not silver in that environment. And therefore, uh, the fact that we couldn’t hang on to the gains early in the session is probably not a major shock. That being said, if we can break above the 50 day EMA, especially on a daily close, then I think silver continues to go much higher, perhaps back towards the $35 level, which was the recent swing high in general.

This is a market that even if we do break down from here, I do believe that the $30 level will continue to be crucial as far as support is concerned and if we break down below there, then you have the 200 day EMA coming next. But really at this point, I think you have to look at this through the prism of, are you finding value? You don’t necessarily want to chase silver, but on the other hand, if we do get some momentum to the upside, that gives you a little bit of confidence in a resumption of what has been a longer term and strong trend. I have no interest whatsoever in trying to short the market, I believe that silver will continue to rally right along with gold, although possibly at a different pace.

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