Silver Price Forecast – Silver Markets Gapped Lower to Reach Towards $26Silver markets gapped lower to kick off the trading session on Thursday, reaching down towards the $26 level. The $26 level of course is an area I have been talking about for some time.
Silver markets have reached towards the $26 level, after gapping much lower at the open. That being the case, it looks like silver is probably going to be “on sale” in the short term, as we have the 200 day EMA sitting just below it and of course the uptrend line just below there. Silver will be needed in the reopening trade, and quite frankly this is a scenario where I think a lot of longer-term value hunters will be all about this market. After all, the rising US dollar has a little bit of negativity attached to it, but at the end of the day there is still going to be a lot of demand for silver itself.
SILVER Video 18.06.21
Because of this, I think that it is probably only a matter of time before we see a bounce, and at the very least an attempt to fill that gap. That being said, even as rough as the last two sessions have been, the reality is that the big picture for silver has not changed, and it is likely that a lot of people will be looking to pick up value in this area. In fact, it is not until we break down below the $25 level that I would be concerned about the overall uptrend. In the meantime, this is a market that I think will continue to be attracted to that $28 level, possibly trying to break above there and going to the $30 level. If we do break down, I will have to reassess the entire situation and come up with the downside target.
Trading Derivatives carries a high level of risk to your capital and you should only trade with money you can afford to lose. Trading Derivatives may not be suitable for all investors, so please ensure that you fully understand the risks involved, and seek independent advice if necessary. A Product Disclosure Statement (PDS) can be obtained either from this website or on request from our offices and should be considered before entering into a transaction with us. Raw Spread accounts offer spreads from 0.0 pips with a commission charge of USD $3.50 per 100k traded. Standard account offer spreads from 1 pips with no additional commission charges. Spreads on CFD indices start at 0.4 points. The information on this site is not directed at residents in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.
For a look at all of today’s economic events, check out our economic calendar.