Silver markets bounced a bit after initially dropping on Friday, as the $17 level is trying to offer a bit of support. However, I think that a lot of this move recently has been due to the fear trade as North Korea and the United States argues, so I think that as tensions cooldown, this market will probably roll over. That being said, Silver had a bit in it to begin with, so a pullback could be a buying opportunity but I think we could get a short-term selling opportunity. Ultimately, I think that the $17.50 level is massively resistive, and I think that the market should continue to see volatile sessions forward.
If we did breakdown below the $16.50 level, then we could see a significant amount of bearish pressure reenter the market. In the meantime, I simply look at this is a market that’s probably best to play with small position, and certainly with as low of the leverage as possible.