Silver Price Analysis – Silver Continues to Attempt a Range

Silver Technical Analysis

The silver market has shown itself to be a little bit noisy during the trading session here on Tuesday, as it looks like traders are trying to defend the $70 level as interest rates continue to jump all over the place. It does put a lot of random pressure on the markets, as we see a lot of “known-on effects.” This market continues to see a lot of volatility, but at this point, this is becoming the norm.

Ultimately, this is a market that I think will try to reestablish the range that we had been in previously between $70 and $90. If that does in fact end up being the case, I think it’s probably only a matter of time before we have to see some type of impulsive candle.

Interest Rates and Range Resistance

As things stand right now, we just don’t have it and I believe that traders are going to continue to look at the 50-day EMA and the $80 level as barriers on your way back to $90. This, of course, means that we need interest rates to cool off, so keep an eye on the 10-year yield in the United States.

If it can get below 4.30% and maybe even significantly below, that could cause a massive rally in silver. As things stand right now, we’ll just have to wait and see, but it certainly looks like a market that’s trying to find its way back to the upside. I like buying dips with small positions and I would definitely emphasize small position sizing necessary at the moment.

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