Silver Price Forecast – Silver markets continue to find support on dips

Silver markets continue to be very jittery, just as the global markets have been. Looking at this chart, I believe that it’s obvious that there are buyers on dips and that’s exactly what we have seen during early Wednesday trading. The $14.70 level has offered enough support to turn the market right back around and crashing into the $14.80 level. Silver is extraordinarily volatile, but it does follow the US dollar and risk appetite. For example, if the US dollar starts to strengthen too much, that will weigh upon silver. However, beyond that we also see a bit of a “flight to safety” when it comes to precious metals overall. Lately, that’s what’s been driving silver higher.

Looking at the chart, I think that the $14.50 level underneath is a bit of a “floor” for short-term traders, and they will continue to treat it as such. Ultimately, I do like buying this market on dips, and adding slowly. I also like physical silver and on quite a bit for my own personal gain. I think that taking the leverage out of silver is a smart thing to do at times, but most certainly there seems to be more pressure to the upside than down as of late, so it has been a bit easier to trade in that sense. I recognize that the $15 level above is significant psychological and structural resistance, so if we were to break above that level silver could really take off. In the meantime, I would expect several attempts being needed to break above there.