Silver Weekly Price Outlook – Silver Has a Stable Week

Silver Markets Weekly Technical Analysis

The silver market has rallied a bit during the course of the week as the $30 level has offered significant support. The $30 level of course is a large round psychologically significant important number that we’ve been paying attention to for some time. So, I just don’t see a situation where you would have any need whatsoever to short this market anytime soon as it has been so important to stay above this $30 level and we have in fact done so.

Even if we were to break down below there, the 50-week EMA sits just about a dollar underneath. We’ve been in an uptrend for some time, and of course there are a lot of concerns around the world about protecting wealth, and while silver isn’t necessarily the same thing as gold, it does tend to move in the same general direction, and gold is absolutely on fire right now, so I think gold will end up dragging silver higher, as it will often do. This is a correlation trade more than anything else at this point.

Speaking of higher, I suspect that silver is probably going to try to target the $35 level, which was where we struggled at previously. I have no interest in shorting this market, at least not at the moment, and I do think that silver continues to be a mildly bullish market, basically just riding the coattails of gold, which of course, as I said previously, has been on fire.

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