Silver Price Forecast – Silver Markets Quiet As Powell Testifies

Silver markets pulled back a bit during the trading session on Tuesday, but only slightly so as Jerome Powell testified in front of Congress. At this point, the market is likely to continue to see support underneath, as the uptrend line. The 200 day EMA is currently sitting at the $17.00 level, so that will make $17.00 important not only from a psychological standpoint, but also from a standpoint of technical analysis now that the 200 day EMA is there. Ultimately, I do think that this market is probably going to try to test this trend line, but I think there are plenty of buyers underneath when there are so many risks out there.

SILVER Video 12.02.20

Ultimately, if we simply break above the $18.00 level on some type of bullish move, then the market more than likely goes looking towards the $19.00 level. At this point, the market would be extraordinarily bullish. Having said that, gold has broken down a bit during the trading session and it’s likely to continue to drag silver with it until it rebounds. In fact, it’s quite often the case that gold is a leading indicator of where silver goes. With that, I think we are going to go looking for support, but I have been buying little bits and pieces in order to build up a larger core position. If you have the ability to buy physical silver, this may not be a bad time to start picking up as well. I have no interest in shorting until we break the 200 day EMA and even then, I would have to take a look around to see what’s going on.

Please let us know what you think in the comments below