Silver Price Forecast – Silver Markets Quiet on Friday SessionThe silver market has done almost nothing during the Friday session as we continue to press the same resistance barrier. At this point, the $15.00 level above continues to be rather difficult to break above, and certainly Friday will have done nothing to push the narrative forward.
Silver markets have gone back and forth during the trading session on Friday as the market really didn’t have much to do. The jobs number was horrific, but everybody had anticipated that and clearly, we have priced that into all financial markets to begin with. With that being the case, now we start to look at the longer-term picture and it does suggest that we are forming a bit of a bullish flag. However, until we can get a daily close above the $15 level, I’m not necessarily willing to jump in and start buying. The reason for this of course is that we have seen $15 cause issues previously.
SILVER Video 06.04.20
Looking at this chart, I also see the $14 level underneath as support and I think that if we can break below that level, it’s likely to reach towards the $13 level which has been the recent resistance barrier during consolidation underneath. I do believe that we will eventually get a “higher low”, so with that being the case it’s likely that the market doesn’t drop any lower than the $13 level. If that’s going to be the case, then it’s likely that the market will turn around for the longer-term move. However, silver unfortunately has an industrial component to it that does keep downward pressure. It should continue to underperform gold regardless of what it does next and therefore some spread traders are finding a bit of success buying gold in shorting silver simultaneously. That being said, the bullish flag does look rather enticing. If we break above the top of that $16 and then eventually $17 could be targeted.