Silver Price Forecast December 6, 2017, Technical Analysis

With the US dollar gaining in general, the Silver markets have rolled over a bit during the trading session on Tuesday in early action. The market reaching down towards the $16 level makes a lot of sense, because quite frankly it was the next support level. As we approach the $16 level it will be interesting to see if we can get some type of bounce, but I think that bounce should be a selling opportunity eventually, and as I look at the stochastic oscillator on the hourly chart, I can see that we are starting to cross in the oversold area. It is because of this that I am waiting for the bounce to start shorting again. I suspect that the $16.25 level above has potential to be resistance, because it was support recently. I think that any bounce towards that area that show signs of weakness should be jumped upon.

Alternately, if we were to break down below the $16 level, I think the market then would make a beeline towards the $15.50 level next. This is a market that will continue to be bearish if the American dollar appreciates, but given enough time I think that we will eventually see a large “floor” closer to the $15 level. A breakdown below there would of course be very negative, and could send this market much, much lower. However, I suspect that somewhere near $15 there will be a significant stand made. Longer-term traders continue to hold physical silver.

SILVER Video 06.12.17