FXEMPIRE
All
Ad
Advertisement
Advertisement
Christopher Lewis
Add to Bookmarks
Silver

Silver markets have rallied going into the weekend, aiming towards the 50 day EMA. Ultimately, this is a market that is going to react to the US dollar and of course the overall risk appetite around the world as silver is also an industrial metal, not just a precious one. Because of this, I like the idea of buying short-term dips and have for a while. However, we are essentially in the middle of a larger consolidation area, so I am in no huge rush to build up a massive position.

SILVER Video 23.11.20

To the downside, the $22.75 level is a significant support level, as it not only has been tested a couple of times previously, but also has the 38.2% Fibonacci retracement level sitting there. Ultimately, this is a market that we should see buyers on dips, especially as the 200 day EMA starts to race towards that area. All things being equal, the market should eventually go looking towards the $26 level, possibly even further.

Advertisement
Know where Silver is headed? Take advantage now with 

Trading Derivatives carries a high level of risk to your capital and you should only trade with money you can afford to lose. Trading Derivatives may not be suitable for all investors, so please ensure that you fully understand the risks involved, and seek independent advice if necessary. A Product Disclosure Statement (PDS) can be obtained either from this website or on request from our offices and should be considered before entering into a transaction with us. Raw Spread accounts offer spreads from 0.0 pips with a commission charge of USD $3.50 per 100k traded. Standard account offer spreads from 1 pips with no additional commission charges. Spreads on CFD indices start at 0.4 points. The information on this site is not directed at residents in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

The silver market of course is one that I do like longer term, so I believe that short-term pullbacks will continue to offer opportunities to put a little bit of money to work, but I have been building this position up over the longer term, not necessarily jumping “all in” right away. The silver markets are extraordinarily volatile and dangerous at times, so keep in mind that the market will continue to see value hunters going forward, and at this juncture I have no interest in shorting this market. I believe this is more of an investment than anything else.

For a look at all of today’s economic events, check out our economic calendar.

Advertisement
Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Trade With A Regulated Broker