Silver Forecast December 20, 2012, Technical Analysis

The silver markets absolutely cratered during the session on Wednesday as the market attempted to break below the $31.00 level. The silver markets are supported at all the way down to the $30.00 level as far as we can tell, and it is because of this that we are very hesitant to take a short position. In fact, we think that eventually this will be a buying opportunity once we see a supportive candle. Typically, traders will sell off their metals positions at the end of the year in order to take profits. We believe that is one of the major underlying issues as to why silver has started falling. Also, there’s that noise of Washington DC that seems to be pushing the commodities markets around as well…