FXEMPIRE
All
Ad
Corona Virus
Stay Safe, FollowGuidance
World
21,107,157Confirmed
758,102Deaths
13,955,275Recovered
Fetching Location Data…
Advertisement
Advertisement
Christopher Lewis
Silver daily chart, October 04, 2018

Silver markets have gone sideways during most of the trading session on Wednesday, testing the $14.70 level for support, and finding it. The $14.85 level has offered resistance, and we have just gone back and forth. The market has been explosive lately, so it’s not overly surprising that we may need to take a bit of a breather. I think that the $15 level above will continue to cause a major resistance barrier, so be aware of that if we do rally. Otherwise, we could pullback but I think that the $14.50 level should offer plenty of support as well. I think the easiest way to play the silver market is to simply watch the US dollar.

The EUR/USD pair is the easiest way to keep track of the US dollar, as it is so highly represented in the US Dollar Index. If the EUR/USD pair rallies, that typically help silver as it brings down the value of the US dollar by default. Otherwise, if the pair falls and breaks through a major barrier such at the 1.15 level, then I think silver will collapse and we will drop rather drastically. However, you can see that over the last couple of weeks we have seen surges higher followed by short-term pullbacks that have been buying opportunities. I recognize it is going to take a significant amount of momentum building to clear the $15 level, but once we do I think the market will continue to go much higher. At this point, I believe the $14 level is a massive “floor.”

SILVER Video 04.10.18

Advertisement
Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All

Trade With A Regulated Broker

  • Your capital is at risk