Silver Price Forecast – Silver Breaks to a Fresh, New Low
Silver Markets Technical Analysis
Silver markets have fallen significantly during the trading session on Thursday as we continue to see the US dollar act like a wrecking ball against most commodities. The silver market of course is highly volatile and sensitive to the US dollar, so this all ties together quite nicely. At this point, it looks as if silver will eventually go looking to reach the $20.00 level, but may get the occasional bounce in the meantime. Ultimately, I have no interest in buying silver, and I do think that eventually, we could break down below the $20 level.
If we do break down below there, it’s likely that the market will be very noisy before falling apart yet again. Ultimately, I think this is a scenario where once we break below the $20 level, it’s very likely that we turn around and rally, only to get smashed and driven down to the $18 level. Once we get there, then we probably go to the $15 level. Quite frankly, as long as interest rates rise in America and the US dollar strengthens, there’s no real opportunity for silver to go higher. Beyond that, there are a lot of concerns when it comes to the industrial use case scenario, which seems to be unlikely at best.
As long as we find ourselves in a situation where the economy is slowing down, it’s very likely that we will continue to see silver suffer. I do not believe that silver has any real hope at this point, so therefore I look at rallies as an opportunity to start shorting yet again. It is not until we break above $22.50 that I think you have to take a rally seriously.
Silver Price Forecast Video for 01.07.22
For a look at all of today’s economic events, check out our economic calendar.