Silver Price Forecast – Silver Markets Continue to Face the Same Headwinds

Silver Markets Technical Analysis

Silver markets have gapped higher during the trading session on Thursday as we continue to see a lot of volatility in the markets overall. Silver is volatile under the best of conditions, so it does make a lot of sense that this market finds itself trying to jump to the $22 level again. The $22 level is an area that has been like a magnet for price, so it would not surprise me at all to see a bit of hesitation. If we were to break above there, then the market has to deal with the 50 Day EMA as well.

All things being equal, this is a market that continues to find quite a bit of downward pressure, especially as we have just formed a major “H pattern.” If we were to break above the 50 Day EMA, then it could open up a bigger move, and breaking above the $23 level could turn the whole thing around. That being said though, the market is likely to see a lot of influence from the bond market, and of course the US dollar. Pay attention to the US Dollar Index, it has a huge negative correlation to silver most of the time.

On the downside, the market breaking down below the $20.50 level opens up fresh selling, and perhaps an attempt to get down to the $20 level. Breaking there opens up significant selling pressure again and sends the silver market into a tailspin. At this point, I believe that it is more likely than not going to be a “fade the rallies” type of marketplace.

Silver Price Forecast Video 17.06.22

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