Silver Markets for Massive Shooting Star

Silver markets have rallied rather significantly during the course of the week, especially as Ukraine was invaded by Russian, but this is a market that has turned around quite drastically as it looks like the kinetic war will not expand beyond the Ukraine borders. Furthermore, the sanctions that the West has levied on Russia have been somewhat mild, meaning that they are essentially willing to give up Ukraine and therefore we should not see further major issues.

SILVER Video 28.02.22

Keep in mind that the silver market was simply following the gold market as a flight to safety, but I believe that a lot of the people left holding the bag near $25.50 are probably retail traders. Silver is not a significant alternative to gold in the safety trade, so although gold also pulled back quite drastically, silver is going to fall much further. At this point time, the market is likely to go towards the bottom of the overall range, perhaps looking towards the $22 level underneath. All things being equal, the metals market looks as if they are ready to pull back, and silver should be even more aggressive to the downside.

If we do rally to the upside and break above the top of the shooting star, it is likely that we could go looking towards the $28 level. That would obviously be in some type of massive panic, so I think at this point in time it is very unlikely to see that happen. If we break down below the $22 level, there is about a $0.50 barrier there that we have to choose through in order to go much lower.

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