Silver markets continue to find buyers on dips

Silver traders picked up silver at the $16.40 level again during the day on Friday as we continue to see plenty of buying pressure. I think if we can break above the $16.60 level, we then go to the $17 level next, and then possibly even the $17.50 level. Based upon the hammer that has formed on the weekly chart, I think we continue to see plenty of buyers underneath, and the $16 level is going to offer a hard floor in the short term. Longer-term chart suggests that the $15.50 level of course is the bottom of the overall consolidation, so I think that if you are cautious and patient enough, these pullbacks should continue to be buying opportunities.

While the markets will be volatile, and of course the US dollar will have a major influence on sewer, the reality is that we have stayed within the major consolidation area, so really nothing has changed even though we have seen a lot of noise over the last several days. Ultimately, I think that we will break out to the upside and go looking towards the $20 level, but who knows how long that will take? Ultimately, this is a “buy the dips” situation, and I would add slowly on the way up, or perhaps play range bound systems between every $0.50 level as we have seen them be respected time and time again. I do have a bullish outlook for this market longer term.

SILVER Video 07.05.18