Silver Price Forecast – Silver Markets Ride 200 Day EMA

Silver markets have fallen a bit against the backdrop of a stronger US dollar on Tuesday, to reach down towards the 200 day EMA. At this point, the market has shown a lot of support in this general vicinity so should not be a huge surprise that we are in fact trying to stabilize. If we can hold the 200 day EMA, then that gives some hope for silver to continue rising, and perhaps recover to the highs. Nonetheless, there is a gap above that has yet to be filled and I think a lot of people will try to target that, which a move to roughly $27.75 would fulfill that.

SILVER Video 30.06.21

If we break down below the 200 day EMA and take out the $25 level to the downside, that is probably it for silver in the near term. Ultimately, this is a market that is highly influenced by the US dollar, but it also has the possibility of industrial use helping out as well. In theory, that should lift silver quite a bit, but it is obvious that we are struggling in the face of a lot of uncertainty out there.

Furthermore, there are questions as to whether or not inflation is going to stick, or if it is going to be “transitory.” As long as there are a lot of questions out there, it probably works against the stability of the silver market, as well as many others. Keep an eye on those levels, because if we take them out to the downside things could get ugly rather quickly. That being said, keep in a reasonable position size is the best defensive you are involved.

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