Silver Markets Bounce After an Initial Selloff on Wednesday

Silver Markets Technical Analysis

Silver markets have fallen a bit during the trading session on Wednesday to reach down to the $25 level before turning around and forming a relatively supportive-looking candlestick. Furthermore, the 50 Day EMA sits just below and is rising. Because of this, the market is likely to continue seeing a lot of value hunting, and if we can take out the $25.50 level to the upside, it would be a very bullish sign and it could open up the possibility of a bigger move to the $26 level.

While the silver market has had a rough couple of days, the reality is that we are in a longer-term uptrend. Furthermore, we have had to deal with a lot of inflation, and therefore it makes quite a bit of sense that silver would get a bit of a boost as precious metals are typically braced into when you are talking about inflation.

If we were to break down below the 50 Day EMA, it would not only break below a dynamic support level, but it also would be a breakdown below a potential hammer for the trading session. Ultimately, the area between the 50 Day EMA and the 200 Day EMA indicators typically is very supportive and important, so it does make a certain amount of sense that we would see buyers jumping in and that area as well. If we give up the 200 Day EMA on the downside, is very likely that the market falls apart. That being said, pay close attention to the US Dollar Index, as the US dollar has a massive negative correlation to the silver market.

Silver Price Forecast Video 21.04.22

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