Silver Price Breaks $70 as Jackson Hole Tests Bullish Momentum

Silver Technical Analysis

The silver market has rallied a bit to break above the $70 level early on Friday, as we continue to see a lot of noisy behavior in general. But the biggest thing about Friday is going to be waiting to find out where the speech leads us from Kevin Warsh later at Jackson Hole. After all, monetary policy from the Federal Reserve will have a major influence at times for the metal markets, and with that, I think we have to be cognizant that there could be quite a bit of volatility later.

Nonetheless, we are sitting just above the $70 level. That’s an area that’s been a major barrier, and now that we are above there, that certainly has caught my attention. If we get some type of dovish behavior, then in theory, that should be good for silver. We’ll just have to see how it plays out. We’ve been waiting all week for this speech, as evident by the fact that we could not break much higher.

Jackson Hole Catalyst and Long-Term Fundamentals

Overall, this is a market that should get some answers later in the day, and in fact, if we do get some type of certainty, you could see momentum pick up.

I do like silver longer term, as I do think that the overall electrification of the overall economy will continue to be a major driver of demand for silver. And of course, we also have to keep in mind that the silver supply really isn’t expanding rapidly to keep up with it. So, I do like this from a longer-term standpoint. A breakout would not be a huge surprise to me, but this speech could throw a lot of questions into the market for the short term at least.

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