Silver Price Forecast – Silver Markets Gap Higher to Kick Off the Week
Silver markets have gapped higher to kick off the trading session on Monday, only to turn around and reach down towards the bottom of the gap to fill it quite quickly. After that, we have bounced a bit during the trading session, and now it looks as if we are trying to get closer to the $28 level again. This is an area that has been resistance more than once, and as a result if we break above and I think that will bring fresh money into the market. That being said, the market would then likely go looking towards the $30 level which I think is even more resistive. That is an area that has been important more than once, and we have formed a bit of a “double top” in that area. By breaking above there, that could really get this thing moving.
SILVER Video 23.02.21
The 50 day EMA has offered a significant amount of support after that crazy candlestick on Friday, and it now looks as if we will continue the uptrend that we have been grinding away at for some time. The massive spike that we recently had seen was due to the “retail short squeeze”, which has failed miserably. At the end of the day, silver still gets a boost due to the idea of reflation, and the demand that silver will see in electronics and other goods that will be produced. At this point, I have no interest in shorting silver, and I think that pullbacks will continue to offer buying opportunities. Keep in mind that gold and silver are moving on two different fundamental realities.
For a look at all of today’s economic events, check out our economic calendar.