Silver Price Forecast – Silver Markets Pull Back Slightly

Silver markets have pulled back ever so slightly during the trading session on Tuesday as the $24 level looks to be a bit resistive. If we were to break above the $24 level, then it is likely that the silver market will go looking towards the $25 level. It will also pay to watch the US Dollar Index, as the value of the US dollar can have a massive influence on what happens with precious metals, and especially silver as silver is so volatile to begin with.

SILVER Video 18.08.21

The markets are also close to forming a so-called “death cross”, when the 50 day EMA drops below the 200 day EMA, sending out a longer-term short signal. Ultimately, the $23 level continues to be a major support level, and if we break down below there then it is likely that we will simply drop towards the $20 level underneath. The $20 level of course is a large, round, psychologically significant figure that people will be paying close attention to. Because of this, I think it would cause a lot of attention to be paid to the market, and we could see a lot of buyers jump into the market due to the fact that it would consider to be “cheap.” If we break down below the $20 level, then it is likely that the market falls apart completely.

As far as buying is concerned, it is really not until we break above $25 that you can make a significant argument for a move to the upside of any type of stamina. At that point, we probably go looking towards $28 above.

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