Silver Price Forecast – Silver markets continue to grind ahead of Federal Reserve

Silver markets will be reacting to the Federal Reserve interest rate announcement, which of course should be a 25 basis point rate cut. The statement of course is going to be crucial, so if we can get a dovish enough signal from the Federal Reserve, then the silver market could rally. I believe that the $16.00 level underneath is massive support, so I would be a bit surprised to break down below there. If we did, then I think the 50 day EMA, which is pictured in red on the chart, could offer significant support.

SILVER Video 01.08.19

Looking at this chart, I believe that selling is almost impossible, at this point you need to pay attention to the idea of looking at value on pullbacks. To the upside, I believe that the $17.00 level above should be some type of target that the market will probably reach towards. We are treading water ahead of the interest rate decision, but I do think that if we pull back, it’s a nice buying opportunity, just as a breakout above the recent consolidation over the last several days could be a nice buying opportunity.

I believe that the $17.00 level above should be a massive resistance barrier, and it will be difficult to get above there. If we do, that would be an extraordinarily bullish sign and more of a “buy-and-hold” scenario just waiting to happen. I think at this point it’s likely that value hunters continue to come back in.

Please let us know what you think in the comments below