Advertisement
Advertisement

Silver Price Forecast – Silver Markets Continue to Show Volatility

By:
Christopher Lewis
Published: Oct 18, 2021, 16:21 UTC

Silver markets have fallen a bit during the course of the trading session on Monday, only to turn around and show signs of life at the $23 level.

Silver Price Forecast – Silver Markets Continue to Show Volatility

In this article:

Silver markets have shown themselves to be relatively volatile, as we fell a bit during the course of the trading session on Monday, only to turn around and show signs of support at the $23 level yet again. Because of this, the market looks as if it is going to challenge the 50 day EMA just above, and the recent high at the $23.64 level. If we can break above there, then the market is likely to test the crucial $24 level. That is an area that I would anticipate seeing a lot of resistance at. Ultimately, this is a market that I think continues to see volatility which is somewhat normal for silver anyway as it is such a volatile market.

SILVER Video 19.10.21

Pay close attention to the US Dollar Index because it is a major influence on what happens in silver as well. It has a major negative correlation, so at the US dollar starts to rally again, that could cause quite a bit of negativity in the silver market. Alternately, if we turn around and see the US dollar fall apart, that could provide a bit of a boost for silver. If we can clear the $24 level, then I think that this market will probably continue to see a lot of momentum reaching towards the $25 level. Anything above the $25 level then becomes more of a “buy-and-hold” scenario, and at that point in time I would be aiming for the recent highs again. To the downside, I would anticipate the $23 should be supportive, and the $22 level will be massive support as we have seen multiple times on longer-term charts.

For a look at all of today’s economic events, check out our economic calendar.

About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

Did you find this article useful?

Advertisement