Silver Price Forecast – Silver Markets Pull Back to 50 Day EMA

Silver markets pulled back a bit during the trading session on Thursday to reach down towards the 50 day EMA. It is not a huge surprise, because quite frankly this is a market that continues to see a lot of inflow and outflow based upon the most recent headline. Silver tends to be very volatile under the best of circumstances, so that is not a huge surprise. As we continue to wait for the results of stimulus stocks in the United States, the US dollar has been all over the place, and this of course has an influence on silver as it is a relatively thin market and of course priced in that same currency.

SILVER Video 23.10.20

The markets at this point in time are dancing around the 50 day EMA as they tend to do, and this will attract a lot of attention in both directions. Because of this, I think that you are looking at a market that is going to be very choppy going forward, but I see a couple of areas that would be interesting. The $24 level is very interesting for me, as it has recently offered a bit of stability and support. Underneath there, we could be looking at a move down to the $23 level, and then $22 following that.

The 200 day EMA underneath is very important as well, and it is sitting just above the $21 level. In other words, even though it does look like silver is at the mercy of stimulus right now, the reality is that it is still very much in an uptrend so you should be looking for buying opportunities on dips more than anything else.

For a look at all of today’s economic events, check out our economic calendar.