Silver markets have gone higher during the trading session on Monday as traders came back to work after the G 20 meeting between the Americans and the Chinese. This of course was a good outcome, as people have relaxed a bit now that the worst-case scenario of escalating tensions has at the very least been put off. That has allowed the US dollar to fall a bit, which of course helps Silver rally. Silver is highly sensitive to the currency markets, so pay attention to the US dollar. If it rallies, that will probably send this market back around.
SILVER Video 04.12.18
Silver markets have been very negative for some time, with currently a consolidation phase between the $14 level on the bottom and the $15 level on the top. I think at this point, it makes sense that we continue to stay in this area so although things look good on Monday, I would point out that the 50 day EMA is just above current trading prices, and it also near the $14.50 level, an area that has had importance. I also believe that the $15 level will continue to be very difficult to overcome, as we have seen it offers so much in the way of resistance. If we break down below the $14 level, then it opens up the door to the $12 level next, which is massively supportive on longer-term charts and I think will of course attract a lot of attention.
