Silver Price Forecast – Silver Continues to Bounce Around

Christopher Lewis
Published: Feb 26, 2024, 14:29 GMT+00:00

Silver was somewhat negative during the trading session in the early hours of Monday, as we continue to bounce around in what seems to be a fairly well defined consolidation area.

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Silver Markets Technical Analysis

I’m taking a look at the silver market, and it is obviously very negative early during the trading session on Monday, but let’s be honest, there isn’t a whole lot going on to push the markets around one way or the other. So, with that being said, it is very likely to continue to stay in the same range that we have been in, with the $22 level underneath being a significant support level and the $23.50 level above being a significant resistance barrier. With that being the case, I think you’ve got a market that will continue to go back and forth and bounce around in this general vicinity, but I think that as we are so close to the middle of this range, there isn’t much to do.

Once we get down to the $22 level, I would very much be interested in trying to get long in the silver market due to the fact that $22 has been tested multiple times in the past, and it has almost always shown itself to be important. If we were to break down below $22, then the next major area is $21. This is an area that if we were to break down below, it could be a very negative turn of events for silver, and it would mean that the US dollar is almost certainly spiking against everything. That being said, I don’t expect this to happen anytime soon.

Above, if we can clear the $23.50 level, then it opens up a move to the $24.50 level, and possibly even 26. That being said, silver continues to be very noisy, and that does make a certain amount of sense as people are not overly convinced about what’s going on with the US dollar or interest rates. So that is obviously something that you need to pay close attention to up in the air as well. So, I think you’ll just continue to see short-term range-bound trading taking advantage of little bits and pieces of value if and when they appear on these sudden pullbacks.

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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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