Silver markets broke out during the day on Thursday, slicing through the $17 handle. We have pulled back since then, and shown signs of support as we continue to go higher. I think that there is a lot of concern when it comes to the financial markets and of course the situation in Korea, so it should continue to offer a bit of volatility in this market, and essentially support. I think that were going to go looking towards the $17.50 level above, and although it might be a bit choppy, it’s likely that we will eventually find enough bullish pressure to get there.
The alternate scenario
Alternately, if we break back below the $17 level, then I think we may pull back somewhat. I don’t have any interest in trying to sell until we below the $17 level, although I am the first to admit that Silver tends to be extraordinarily volatile, and can turn directions rather rapidly. I do believe that there is more upward pressure than down, and I think the given enough time we will probably see buyers jump into this market unless of course things change completely. Pay attention to the US dollar, because quite frankly it works against the value of this market most of the time.
