Silver Price Forecast – Silver Markets Run Into Massive SellingThe Silver markets initially tried to rally during the trading session on Friday but continues to find a lot of resistance above at the downtrend line that forms the major wedge that I have marked out. Beyond that, there is support underneath, and I think we are going to continue to see a lot of volatility.
Silver markets got hammered on Friday as traders started to pay attention to the US/China trade situation, which of course has been a major driver of “risk appetite” in the markets, and it’s likely that we will continue to see headlines and tweets move the market back around. At this point, the wedge needs to be broken in one direction or the other, and it could lead to a rather volatile movement. The 50 day EMA is currently trading in the middle of the range for the day, so it’s likely that we will continue to see a lot of back-and-forth in the meantime, at least until we get some type of resolution to the US/China situation, be it good or bad.
SILVER Video 14.10.19
To the downside, the $17.00 level should offer significant support from a structural and psychological standpoint, so if we do break down below there then I think the market will probably go racing towards the 200 day EMA. To the upside, if we were to break above the $18.00 level, then it’s likely that the market will go looking towards the $18.75 level, and then perhaps even the highs again that are closer to the $20.00 level. This is going to be based on fear or headline noise, so keep in mind that paying attention to the overall trend lines probably is the best way to trade this market as it’s essentially a “50-50 ball” at the moment.