Silver Price Forecast – Silver Gaps in Thin Holiday Trading
Silver Price Forecast Video for 25.11.22
Silver Markets Technical Analysis
Silver has gapped to the upside during the trading session on Thursday, but it had limited hours and liquidity due to the fact that it was Thanksgiving, and of course most traders weren’t even paying attention. That being said, the FOMC Meeting Minutes suggested on Wednesday that people were looking to see less aggressive behavior coming out of the Federal Reserve, and therefore could allow silver to flourish. Because of this, it does make a certain amount of sense that we will eventually try to get above the $22 level, which obviously has been a significant resistance barrier.
If we were to break above the $22.50 level, then I think it will allow silver to take off to the upside for a while, perhaps going as high as $25 over the longer term. On the other hand, if we turn around and break down below the hammer from the Monday session, that could open up a move down to the 50-Day EMA, possibly even the $20 level at that juncture. I think at this point we’ve got a situation where market participants will continue to look at interest rates as a major driver, but also the possibility of whether or not there is going to be significant industrial demand.
Remember, silver is also an industrial metal, so it does make this market a bit noisy. Looking at this chart, it does not take a lot of imagination to suggest that perhaps we are forming a bullish flag as well. In other words, we are about to see a rather big move in one direction or the other.
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