Silver Price Forecast September 26, 2017, Technical Analysis

Silver markets had a very volatile session as the nonsense with North Korea continues. After a few words from the Foreign Minister about the right to shoot down US bombers whether they are in North Korean airspace or not, the markets freaked out. We broke above the $17 level, but by the time I record this we are already starting to see the market give back some of the gains. Because of this, looks like cooler heads are prevailing, and that perhaps we will roll over again. At this point, I suspect that it’s going to be difficult to trade silver as it is much thinner than gold markets are, so expect extreme amounts of volatility. At this point, I’m quite comfortable with stepping aside as Silver markets can be very punishing unexpectedly. I think that the market should continue to see plenty of noise due to the nature of the leaders involves. Quite frankly though, trading Silver based upon a few random comments from political figures is a good way to lose money.

My suspicion is that selling Silver will probably continue to be the way going forward, unless if we can clear the $17.25 level. A move above there would be very bullish, sending this market towards the $17.50 level. Market participants tend to be very skittish, and any more we are seeing computers react to these headlines more than people, and quite frankly they tend to overdo things. Because of this, I’m not overly impressed, least not yet. Silver continues to be a laggard when it comes to precious metals, and therefore if I am going to buy precious metals based upon noise in the news cycle, I’m going to buy gold. Silver has sold off far too much recently for me to jump in head first.

SILVER Video 26.9.17