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Silver Price Forecast – Silver Hanging Onto Trend Line

By:
Christopher Lewis
Published: Nov 25, 2021, 16:49 UTC

Silver has been very quiet during the Thanksgiving holiday, as trading will have been lacking significant volume. That being said, the most important thing to pay attention to right now is that we are hanging onto a major trend line.

Silver Price Forecast – Silver Hanging Onto Trend Line

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Silver markets have been somewhere quiet during the trading session on Thursday, which makes sense considering that the Thanksgiving Day holiday will have taken quite a bit of liquidity out of the market. The shape of the candle stick does suggest that rallies will continue to struggle, and that’s essentially how I am trading silver at the moment. The silver market has struggled with the massive U.S. dollar strength as of late, and this trend line is a perfect example of where the market needs to save itself.

SILVER Video 26.11.21

The 50-day EMA sits just above the $24 level. The $24.00 level should be an area that I think a lot of people will be paying close attention to. If we can break above there, then we can make a run towards the 200 day EMA. Even if that happens, it is still all within the confines of a correction. After all, we have seen a major shot to the downside, and these things typically do not happen on their own and without some type of follow through.

If we break down through the bottom of the candle stick from the Tuesday session, it’s very likely that we will go looking to take out the $23 level, which could open up a move all the way down to the $22 level. I anticipate this is very likely to happen, assuming that the US dollar continues to see strength. In the short term though, this is a market that appears a bit oversold. With that, I am looking for shorting opportunities.

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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