Silver Price Forecast – Silver Markets Continue to Grind SidewaysSilver have been very quiet over the last 48 hours, as there seems to be no real direction to the market right now. Now it is a question of industrial demand.
Silver markets have initially pulled back slightly during the trading session on Wednesday but then turned around to show signs of strength again. The $25 level is an area that a lot of people will be paying close attention to, due to the fact that it is a large, round, psychologically significant figure. The 200 day EMA underneath is rather supportive, as we have seen a nice bounce from that area. The 200 day EMA of course is a significant technical indicator that will continue to influence the overall trend. If we were to break down below there, then it would open up the possibility of a move down to the $22 level.
SILVER Video 08.04.21
To the upside, if the market is going to continue to see buying pressure, the 50 day EMA will be the first target, possibly breaking above there and go looking towards the $26.50 level. After that, the next target would be $28, and as a result this is a scenario where we would have more momentum due to the fact that the reopening trade should bring in more industrial demand for silver as it is a major industrial component for a lot of various industries. All things been equal, I think that silver is a market that you can buy on the dips, especially if the yields in America continue to drop, because that will relieve some of the currency pressure that we had seen previously as well. All things being equal, this is a market that has had a nice correction, but now it looks as if it is trying to recover.
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