Silver Price Forecast – Silver Markets Choppy to End Week
Silver markets went back and forth during the trading session on Friday, as traders are trying to figure out which direction to go next. Quite frankly, silver of course is going to be dependent on what happens with the US dollar, meaning that if the US dollar falls, that should help silver, all things being equal. Underneath, the $26 level offer significant support, and then of course the $28 level above is significant resistance. As we are right around the $27 level, it suggests that we are at approximate “fair value.”
SILVER Video 21.09.20
At this point in time, I like the idea of buying short-term pullbacks to offer value. Ultimately, this is a market that I think will eventually go higher, but we may need to “chop wood” in order to have the market settle down enough to be placing trades at this point. That being said, I have no interest in selling this market, even if we do touch the $28 level and selloff. That is simply where I start to take some profits. Longer-term, if we can break above the $28 level, then it is likely that we go towards the $29 level and then eventually the $30 level. All things being equal, we have been rallying for some time and simply grinding sideways here makes quite a bit of sense considering that the move had been so parabolic heading into that area. With this, I like the idea of buying dips because eventually I do expect this market to rip to the upside. Having said that, pay attention to the US dollar because of that suddenly strengthens, that is kryptonite for silver.
For a look at all of today’s economic events, check out our economic calendar.