Silver Price Forecast October 5, 2017, Technical Analysis

The Silver markets were extraordinarily volatile during the session on Wednesday, reaching towards the $16.90 level. The market rolled over from there, reaching down towards the $16.50 level. Ultimately, this is an area where there is plenty of support, so I think that we may bounce from here. The overall back and forth type of attitude of the market continues, and that should continue to be a problem trading this market. However, if you are nimble, you may be able to go back and forth right along with the market. The Stochastics based systems should do fairly well in this environment, as we don’t have any clear direction. Short-term trading is probably the only thing you can do, as a buy-and-hold or sell and hold approach simply doesn’t make sense.

 

Longer-term, I believe we rise

I believe that longer-term, we rise over the course of the next several months. Because of this, I can envision a scenario where we short and by the market, while holding onto physical silver. Because of this, I think that we continue to show extreme amounts of volatility, but given enough time I think that the longer-term “buy-and-hold” crowd will prevail but this will probably be due to some type of unforeseen geopolitical concern. I think that the market will probably be very difficult to deal with, but if you are short-term trader, this may become one of your favorite places to trade. If you are not one to watch the charts on the hourly timeframe or even lower, you might be best served on the sidelines, as there has been so much difficulty finding directionality. Ultimately, this is a bit of a 2 speed market, so you must be willing to look at it as such.

SILVER Video 05.10.17