Silver Price Forecast – Silver Markets Pull Back

Silver markets have fallen a bit during the trading session on Monday as traders came back from the weekend. All things being equal, this is a market that looks as if it is going to continue to see the $25 level as a significant support level, and therefore I think it is only a matter of time before we see buyers coming back into the marketplace. However, there is a lot of crosswinds out there when it comes to the idea of where silver goes, as silver is not only a precious metal, but it is also an industrial one.

SILVER Video 23.03.21

Silver is considered to be a precious metal, so pay attention to the US dollar, because it has a bit of a negative correlation. However, what is probably more important to pay attention to would be the yields in America, because as they climb, that makes the idea of storing precious metals a little bit more difficult to stomach. However, silver is also considered to be an industrial metal, so a lot of this comes down to stimulus and whether or not the economy is going to continue to grow.

At this point, I think that there is a massive amount of support between the $25 level and the $24 level underneath there, which is where the 200 day EMA currently sits. We have seen the 50 day EMA offer a little bit of resistance, so at this point I think we are going to continue to see a lot of back and forth and choppiness in this market going forward. Because of this, I would keep my position somewhat small.

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