Silver Price Forecast – Silver Falls Hard After FOMC

Silver Price Forecast Video for 16.12.22

Silver Markets Technical Analysis

The silver market has fallen rather hard during the trading session on Thursday, as we continue to react to the FOMC. At this point, silver was a little overdone anyway, so a pullback certainly makes quite a bit of sense. We have broken below the hammer shaped candle from the Wednesday session, making it a “hanging man.” That doesn’t necessarily mean that the market is going to collapse, but there are some technical traders that are going to be paying close attention to it.

The $23 level could be supported, but if we break down below there then it’s likely we go much lower, perhaps dropping down to the $22 level. Ultimately, this is the market that I think continues to see a lot of volatility, but eventually we should see value hunters come back into the market. The 50-Day EMA has broken to the upside and crossed the 200-Day EMA. This sets up the “golden cross”, so a lot of people are looking at it through that prism. However, it’s probably worth noting that every time silver gets close to the $26 level, it runs into a lot of trouble.

It’s worth noting that the “paper market” for silver has been manipulated for years, as JP Morgan has been forced to pay massive fines for doing just that, and more than once. It is because of this that it’ll be interesting to see how much further we can go to the upside, but I also believe that a lot of this will come down to interest rates and the US dollar. If the US dollar starts to take off again, we may getting close to the top in silver.

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