Silver Markets Show Continued Volatility During the Week

Silver markets have gapped a little bit higher during the open on Monday, pulled back, and then found the buyers to turn things around based upon fear. As the market continues to see a lot of noisy behavior, I think what we will have here is a situation where the downtrend line continues to offer significant resistance, so if we were to break above there, then the market could go looking towards the $25 level. On the other hand, if we were to turn around a break down below the candlestick for the week, that could open up the possibility of a move down towards the $22 level.

SILVER Video 21.02.22

Keep in mind that the $22 level extends down to the $21.50 level as far as support is concerned. If we break through all of that, silver will get of this rate it. However, right now it does not look likely, but it is worth noting that you could make an argument for a descending triangle still being formed at this point, and of course all it would take is some type of turnaround by the Russians in order to see a short-term pullback, and of course there is the fact that “paper silver”, meaning the futures markets and other derivatives, continually are manipulated by banks such as JP Morgan.

All things been equal, pay attention to goal because if it continues to break out to the upside, then we might get a bit of a “knock on” move in this market as well. Ultimately, you should also pay attention to the US Dollar Index, as it has a negative correlation to this market.

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