Silver Price Forecast – Silver Markets Rally To Kickoff WeekThe silver markets have rallied a bit during the trading session on Monday, as we continue to see strength in the precious metals markets. That being said, we did give back a significant portion of gains.
Silver markets rallied initially to kick off the week, as Monday was positive for the precious metal sector in general. That being said, the silver markets did give back some of the gains, so it does show a bit of hesitation. I think there is plenty of support below though, as the 50 day EMA seems to be a bit of a magnet for price. The uptrend line underneath should continue to offer plenty of support, so keeping that in mind I do like the idea of buying short-term pullbacks in silver. Keep in mind that the Americans weren’t trading as it was Presidents’ Day, so that keeps the market somewhat thin.
SILVER Video 18.02.20
Nonetheless, silver looks as if it has been trying to offer a bit of support, so ultimately, I believe at this point it’s only a matter of time before the market goes looking towards the $18.00 level, and then eventually the $19.00 level. However, if we were to break down below the uptrend line, then the market would test the 200 day EMA which is also at the $17.00 level.
With central banks around the world looking to loose monetary policy, it makes quite a bit of sense that precious metals will continue to gain given enough time as traders start to look for “hard money.” This works against the value of fiat currencies in general, and if the Federal Reserve joins the party, that will supercharge silver, as well as gold markets. I have no interest in shorting precious metals right now, and that of course includes silver.