Silver Price Forecast – Silver Continues to Recover After Reason Pullback

Silver Price Forecast Video for 22-01-2024

Silver Markets Technical Analysis

Silver had initially pulled back just a bit during the trading session on Friday, but then turned around to show signs of life again. At this point, it looks like the market is bouncing from the $22.50 level, which I think extends support all the way down to the $22 level. Now that we have bounced the way we have over the last couple of sessions, I do think that it would make a lot of sense for Silver to go looking toward the 200 day EMA above, somewhere near the $23.20 level. Anything above there then opens up a much bigger move, perhaps all the way to $24.50.

When I look at the longer term chart of Silver, it’s easy to make out an argument that $26 is the resistance barrier on the top from the longer term perspective, while $22 underneath is massive support. As we are closer to the massive support, it does make a certain amount of sense that there continue to be value hunters in this market. Keep in mind that silver is heavily influenced by the 10-year yield in the United States. So, if that yield starts to rise, that makes precious metals less attractive.

At the very least, I would anticipate that Silver should go looking toward the 200 day EMA, or possibly even the 50 day EMA, in the short term. Also, Keep in mind that silver is a very volatile contract and as a result you have to keep your position size relatively reasonable due to the fact that you can get whipped around pretty drastically and perhaps end up losing quite a bit of money quickly.

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