Silver Price Forecast – Silver Continues to See Buyers

Silver Markets Technical Analysis

Silver initially fell during the trading session on Wednesday but has turned around to show signs of life again. By doing so, it looks as if we are trying to build up enough pressure to get above the $27.50 level, which is an area that has been somewhat resistant previously. That being said, I think we could rally above there and try to go to the $28.50 level, which was a major ceiling as of late. Keep in mind that once you get above $28.50, it does tend to be very difficult to hang on the gains because that area stretching all the way to the $30 level opens up the possibility of heavy institutional selling pressure as we have seen it multiple times.

In general, if the market pulls back a bit, I do think that there is plenty of support underneath, especially near the $26 level, which has repeatedly been important. Furthermore, we have the 50-day EMA right there as well. So, it comes into the picture to offer a bit of support also. If we were to close below $26 on the daily chart, I think that could start to change things.

But right now, you have to assume that the market is essentially buy on the dip type of situation. As we continue to see plenty of buyers come in and take advantage of cheap silver, pay attention to the interest rate markets. It can work against silver, but at the same time, the geopolitical issues can perhaps make silver a little bit more interesting than it normally would be. With this, I anticipate a bigger push higher sooner or later.

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