Silver Price Forecast – Silver Markets Crater for the Day

Silver markets have gotten hammered during the trading session on Wednesday as the US dollar gain strength. Ultimately, the market breaking below the $28 level was another shot across the bow, but it is a market that has been in an uptrend for some time. As long as that is the case, there is no point in trying to fight what is going on. I like the idea of buying dips, and we may get the opportunity to buy silver at lower price.

Having said that, there should be a significant amount of buying pressure near the $27.50 level, so it could come into play and perhaps cause some short-term buying. Ultimately, I think that the market will find plenty of reasons to go higher over the longer term, but right now it seems like the US dollar has been oversold, so it makes sense that precious metals take it on the chin, at least in the short term.

SILVER Video 03.09.20

Keep in mind that Friday is the jobs number and that of course will have a major influence on what happens later this week, so ultimately, I like the idea of buying dips, and I am ignoring selling opportunities. Do not get me wrong, I can see where the market may break down even further, but I do not have any interest in trying to short this market, because there are a multitude of reasons why silver should continue to go higher. As long as the central banks around the world, especially the Federal Reserve, continued to work against the value of their own currencies, it will continue to put upward pressure on silver.

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