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Silver Price Forecast – Silver Continues to Threaten Resistance

By:
Christopher Lewis
Published: Apr 20, 2023, 14:39 UTC

Silver markets pulled back just a bit in the beginning of the trading session on Thursday, but as you can see, there is a lot of noise above, and I think it gives us a certain amount of trouble.

Silver, FX Empire

In this article:

Silver Price Forecast Video for 21.04.23

Silver Markets Technical Analysis

Silver pulled back a bit during the trading session on Thursday, but then turned around to show signs of life near the $25.50 level. I think at this point, the market is likely to continue to see a lot of trouble at the $26 level. The $26 level is where we pull back from previously, and it’s worth noting that over the longer-term, it’s been an area that’s been difficult to get beyond for quite some time.

The $25 level underneath is a large, round, psychologically significant figure that a lot of people pay attention to, and of course we have already seen a lot of buyers in that area. Underneath there, then we could go down to the $24 level, which is the area that the market had been consolidating for some time a few months back, so I do think that there’s enough market memory in that area to keep the market afloat. That being said, if we were to turn around and break down below the 50-Day EMA underneath, then it’s possible that we could drop to the 200-Day EMA, and I would expect that to be a very negative turn of events.

On the upside, if we were to take out the recent high, then we could go looking to the $27 level, which also has been important. If we take that out, then it’s possible that we may enter a phase where the silver market takes off like it did a couple of times in the past, trying to get all the way to the $50 level. That being said, it will take a lot of effort to make that happen, and there are a lot of different things going on at the same time that could come into the picture. After all, there are a lot of concerns when it comes to global demand for production, and that most certainly will keep silver a little bit sluggish. However, the demand for wealth preservation counterbalances that at the moment, as seen not only in silver, but also the gold market. At this point, still looks bullish, but there is a lot of work to do.

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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