Silver Price Forecast – Silver Continues to Attempt a Rally

Silver Price Forecast Video for 19-02-2024

Silver Markets Technical Analysis

The silver market has been very quiet during the early hours on Friday as we continue to hang around the 50 day EMA and the psychologically important $23 level. This is a market that has been in the process of trying to find a bottom and has recently formed a little bit of a double bottom at the crucial $22 level.

As long as we can stay above the $22 level, I think that the market stays in the previous consolidation area that it had been in between $22 on the bottom and $26 on the top. That being said, there was a point in the fall of 2023 where we did slice through support and drop down to the $21 level, but ultimately, I think this is more of a throw over than anything else. And I don’t know how much credence I would put into that move. If anything, it just shows how much support there is underneath.

That being said, pay attention to the 200 day EMA just above as well as it could cause a little bit of technical resistance. Silver does tend to move counter to the US dollar and most certainly counter to interest rates. So, pay attention to both. If interest rates fall and the US dollar falls, that should help silver move higher. If we do break higher, the $23.50 level is a minor resistance barrier, but once we clear that, it opens up a move to the $24.50 level before trying to revisit that lofty $26 region. Either way, I think at this point we are in the midst of some type of consolidation that is a bit of a base building pattern in order to turn things back around.

I do not like the idea of selling silver all the way down in this region, although I do freely admit that I expect the occasional pullback, but those should end up being buying opportunities going forward. Over the longer term, I do believe that silver will find its way back to the $26 level sometime this year.

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