Silver Price Forecast – Silver markets chop around

Silver markets went back and forth during the trading session on Tuesday, as we continue to see a lot of noise when it comes to precious metals. The US dollar of course has a major influence on what happens with precious metals so keep that in mind. However, recently we have seen so much noise that silver has been difficult to trade. Remember, silver is extraordinarily volatile at best, and if you are trading the futures market can be relatively expensive if you are wrong as you are trading 5000 ounces. That being said, we have a couple of technical things that we should be paying attention to currently.

SILVER Video 01.05.19

Just above, we have the 50 day EMA, followed by the 200 day EMA. Looking at this chart, there is also a falling wedge which is sometimes a bullish sign, when we break above the downtrend line. Looking at this chart, if we do break out to the upside we could go as high as $16.00, but that seems to be very unlikely in the short term. We would need to see a very impulsive candle stick and need to be very patient as there is so many resistive areas just above.

Looking at this chart, I also see a lot of support underneath at the $14.75 level, so breaking below there could break this market down to the $14.50 level and then the $14.25 level. One thing is for sure, we are going to see a lot of noise in this market, and therefore you should be patient and wait for the impulsive candle to take advantage of.

Please let us know what you think in the comments below