Silver Price Analysis – Silver Choppy in Early Wednesday Session

Silver Technical Analysis

The silver market has been very noisy in general and as you can see, we were fairly quiet during the day in a very tight and choppy range. Short-term pullbacks, more likely than not, will continue to offer buying opportunities near the $70 level.

The $70 level is a large, round, psychologically significant figure that I think will continue to attract a lot of attention. Underneath there you have the 200-day EMA, which I believe is your floor in the market. This should continue to be the case, as so many trend traders can be found there.

Market Ceilings and Floors

To the upside, if we can go in that direction, the 50-day EMA at $78.15 could be a potential target, and I think after that, you could even be looking at the $80 level next. The $80 level of the course is a market that will continue to be a level where you see a lot of action, and if that is the case, then the market probably has a little bit of a ceiling there. Breaking above that level would be very bullish. This would probably coincide with the US dollar falling quite a bit, and risk appetite returning overall.

Now, the market seems to be trying to price in the idea that the war might be slowing down or even stopping. That should help silver and overall, we have maintained the range, so maybe we are just going back to where we were before, basically bouncing between $70 on the bottom end and $90 on the top. If we do break down, then we could see this market test $60 again, I think pretty quickly.

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