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Silver Price Forecast – Silver Continues to Attempt to Recover

By:
Christopher Lewis
Published: Feb 15, 2024, 13:27 GMT+00:00

Silver rallied a bit during the trading session on Thursday as we continued to try to define a larger consolidation area.

Silver coins, FX Empire

In this article:

Silver Price Forecast Video for 16-02-2024

Silver Markets Technical Analysis

Silver rallied a bit during the trading session on Thursday as we continue to see the $22 level offer a lot of support. The $22 level underneath will continue to be an area that a lot of people are going to be paying close attention to. And it is the bottom of a larger consolidation area. Because of this, people are going to be paying close attention to this region, and he could bring in quite a bit of price action that you should be aware of.

It’ll be interesting to see how this plays out in the next couple of days, because I do think that we have a situation where traders are trying to sort out whether or not we are in the process of bottoming, perhaps forming a big W pattern. With that being the case, a move above the $23.50 level could open up a roughly 10% move all the way up to the $26 level.

Short-term pullbacks will continue to find support near the $22 level, and underneath the $22 level, we have support that extends in numerous places all the way down to the $21 level. Keep in mind that silver is highly sensitive to interest rates, it’s highly sensitive to the US dollar, and it’s also highly sensitive to industrial demand. After all, silver is an industrial metal that’s used for a lot of green technologies.

As things stand right now, we’re just simply at the bottom of the overall range, and now it looks like a market that really doesn’t have a whole lot to say this year other than more of the same. That’s fine. Range-bound traders that are more swing traders will love this market as it gives them plenty of room to move back and forth. It’s not until we break down below the $21 level that I would be truly worried about, but if we could take off above the $26 level, we could start to see more of a buy and hold scenario, but right now that doesn’t look very likely.

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

About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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