Silver Price Forecast – Silver Gets Crushed After ADP Numbers

Silver Price Forecast Video for 07.07.23

Silver Markets Technical Analysis

Silver has been hammered during the trading session on Thursday, as we have reached just below the 200-Day EMA. Ultimately, this is a market that continues to see a lot of noisy behavior, which is typical for silver itself. With that being said, it’s also worth noting that the market has been consolidating for a while, and we were repudiated at the 50-Day EMA. If we were to turn around a break above there, it would obviously be a very bullish sign, sending the silver market to much higher levels.

All things being equal, it should be noted that the ADP numbers are typically just a general direction of the Non-Farm Payroll numbers that come out on Friday, so I would not read too much into it. It’s also worth noting that the market has turned around to show signs of life again already, so it is possible that we see this market recover. If we can take out the 50-Day EMA, then I do believe that the market will eventually go look into the $24.50 level, possibly even the $25 level after that.

Expect a lot of volatility on Friday, mainly due to the fact that there is so much in the way of uncertainty out there, and of course you need to pay close attention to the fact that the silver market is highly sensitive to global growth. After all, silver is not only a precious metal, but is also an industrial model at the same time. In other words, there are a lot of different factors that make the silver market so volatile.

As things stand right now, it looks like the 61.8% Fibonacci level, near the $22.33 level, continues offer a bit of the floor. The fact that we have started to recover almost immediately after the plunge suggests to me that silver eventually will find enough buyers to continue sending this market higher. That being said, position sizing is something the yet to be very conscious with, mainly due to the fact that the volatility and the size of the contract itself can cause headaches and be very expensive if you are incorrect in your trade.

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