Silver Price Forecast – Silver markets gain slightly on TuesdaySilver markets broke out to the upside during the trading session early on Tuesday but did give back some of the gains. Because of this, although it was a bullish session, one has to wonder how much longer the buyers are going to be there?
Silver markets rallied a bit during the beginning of the session on Tuesday but gave back quite a bit to show signs of weakness around the $14.80 level. However, longer-term it looks like the much more significant $15 level is where people are going to be paying attention to more than anything else, so we could see a little bit of continued pressure to the upside. Pay attention to the EUR/USD pair and use it as a proxy for direction, as it is the largest currency traded against the greenback, which is what drives this market right now.
At the US dollar continues to lose value, that will of course helps Silver overall. I think at this point, $15 will be very difficult to break above, but if we broke above the $15.10 level, that would be a significant break down, perhaps sending the market much higher. I don’t have any interest in trying to buy it at this point though, I’m looking for some type of exhaustion to turn around and start shorting again. However, I more than willing to step to the side and let the market do its thing first, giving me a better entry point at higher levels. I will of course change my attitude completely if we break through the previously mentioned resistance, as it would show a turnaround overall in the attitude, a lease for the next few weeks. Expect volatility, but if you’ve ever traded Silver, that’s nothing new.