Silver Price Forecast – Silver Markets Continue to Reach Towards Resistance

Silver markets initially dipped to kick off the Friday trading session but have turned around to show signs of life again. Ultimately, this is a market that I do believe will find a way to go higher given enough time. I like the idea of buying short-term pullbacks, offering a bit of value for traders looking to go long. If we can break above the $20 level, then it is very likely that we will find reasons to go to the $30 level, if for no other reason than simple momentum.

SILVER Video 31.08.20

I have no interest in shorting silver, quite frankly it is far too strong and now it looks as if the market is going to look at the $26 level as a potential “floor” in the market. Ultimately, I do think that this market goes towards the $30 level, and beyond. The Federal Reserve has stated during the week that the bar to raising interest rates is much higher than previously thought, and therefore I think it makes quite a bit of sense that we see this market continue higher, eventually breaking out above the $30 level to go much higher, perhaps as high as the $50 level over the longer term.

At this point, I think that there is not only support at the $26 level, but also at the psychologically important $25 level, right along with the $24 level underneath. The 50 day EMA is coming into the picture, so that of course is something that could come into the equation as well. Ultimately, buying dips continues to work as this is a market that has plenty of reasons to go higher.

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