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Silver Markets for Massive Exhaustion Candle During the Week

By:
Christopher Lewis
Published: Mar 11, 2022, 17:14 UTC

Silver markets have rallied initially during the course of the trading week but have given back enough gains to form a bit of a shooting star.

Silver Markets for Massive Exhaustion Candle During the Week

Silver markets have initially tried to rally during the course of the week, reaching towards the $27.50 level before pulling back. By pulling back in the way we have, we have ended up forming a bit of a shooting star. The shooting star of course is a very negative candlestick, so if we break down below the bottom of it, which just happens to be the $25.50 level, then we could break down from there.

SILVER Video 14.03.22

Keep in mind that silver is a highly manipulated market and therefore it is not a huge surprise to think that perhaps the banks are starting to sell into the futures markets. It happens every time we get a bit too close to the $28 level, so it is not exactly out of the realm of possibility. That being said, there are a lot of concerns about supply at the moment, not only from silver but from pretty much everything. There is the possibility that we finally take off to the upside, but I suspect there is probably more of a chance of gold breaking out than silver for a huge move.

If we break down below the $25.50 level, then I anticipate a move down to the $24 level. Breaking down below that area then opens up a return to the $22 level. On the upside, if we were to somehow break above the $28 level then we will almost certainly go looking towards the $30 level, which is where I see an even bigger amount of resistance. Breaking above that would be a huge accomplishment, but I would not hold my breath for that anytime soon.

For a look at all of today’s economic events, check out our economic calendar.

About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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