Silver Price Forecast – Silver Continues to Build a Base

Christopher Lewis
Published: May 3, 2024, 14:20 GMT+00:00

The silver markets continue to see a lot of noise, as it looks like we are hanging about a major support level in the form of $26.

In this article:

Silver Markets Technical Analysis

You can see silver has been all over the place during the trading session on Friday, as we have been hanging around just above the $26 level for a while. With that being the case, it’s very possible that we may have a situation where silver ends up being more sideways as we try to build a bit of a base, perhaps in order to get long again?

Keep in mind that silver is an industrial metal as well as a precious metal, so you have to look at it through that prism. All things being equal, I don’t like silver as much as I like gold, just simply because it doesn’t have quite the geopolitical padding. That being said, it is a bullish market and if you get it right, it can make you quite a bit of money.

But on the other hand, if you get it wrong, it can be a very painful market to be involved in. So do keep that in mind. Ultimately, if we can hold $26, I think then we could make an attempt to get back to $28.50. But we need to see some type of momentum. If we break down below $26 on a daily close, then I would start to become a bit worried. Ultimately, this is a market. That position sizing will be everything, and at this point in time, I’d much rather see a little bit more of a bounce in order to start buying into it.

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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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