Silver markets fell a bit during the trading session on Friday, reaching down to the $16.70 level, an area that is previous resistance, so it makes sense that it would offer a bit of support. I think that the market should continue to go higher, perhaps reaching to the $17 level over the longer term. However, it’s going to be a fight to get there as Silver tends to be very choppy to say the least, but those of you who are used to trading silver, it makes sense that the markets would bounce around rather drastically.
The market also has support closer to the $16.50 level underneath, but if you are cautious and build up positions very slowly, you could take advantage of what should be a buyer’s market based upon risk appetite and of course geopolitical concerns which can drive precious metals higher over the longer term. If we were to break down below the $16.50 level, then I think we unwind to the $16 level over the longer term. In general, I believe the dips are value that people will be willing to take advantage of, and I think that we will continue to struggle, that could only offer plenty of value and opportunity for those who are more long-term minded. Short-term futures trading and of course can be done, but I still believe in the uptrend that we had started forming a couple of weeks ago.