Silver Price Forecast – Silver Markets Attempt to Find Support
Silver Markets Technical Analysis
Silver markets are certainly in an oversold condition, perhaps lending credence to the idea of stabilization on Tuesday. That being said, the market is also waiting for the CPI figures coming out of the United States on Wednesday, which obviously will give us a peek into the idea of what is going on with inflation. Inflation is a major driver of the US dollar time, as the Federal Reserve is doing everything it can to fight inflation.
The $22 level has offered a certain amount of resistance during the day, but I do not necessarily think that it is going to be like a brick wall. Regardless, I look at short-term rallies as opportunities to sell silver again, because it is struggling. The US dollar strengthening has been like a wrecking ball for most things, and of course, silver has been no different. The markets have been very noisy, but it is worth noting that as the US dollar strengthens, silver is very sensitive. If we were to break down below the $21.50 level, we would likely see silver falling hard to reach the $20.00 level.
Any rally at this juncture looks like a selling opportunity, and I will use it as such. I have no interest in buying silver anytime soon, but if we were to break above the $23.50 level, I would have to consider it. Until then, it looks like silver is eventually going to break down significantly, and if gold starts to sell off, it will only add more pressure. It would take a serious change in the overall attitude of the bond markets in the United States to make silver palatable.
Silver Price Forecast Video 11.05.22
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