Silver Price Forecast – Silver Markets Run Into Trendline

Silver markets have rallied a bit during the trading session on Friday in reaction to that airstrike in the Middle East the killed the Iranian general, but quite frankly they did not explode to the upside like you would expect. In fact, as we are getting close to the end of the session and it looks like we are going to pull back a bit and respect the previous uptrend line that should now offer resistance. This shooting star shaped candlestick could send the market right back down and I do think that we need to build up a little bit of momentum in order to break out to the upside. At this point, it’s very likely that the market will go looking toward support at the $18.00 level. A break above the top of the candlestick would be a very bullish sign as well, sending the market towards the $18.50 level, but then eventually higher than that.

SILVER Video 06.01.20

All things being equal, it’s likely that the market would find plenty of value underneath, as silver has certainly seen a push higher. However, I would not be surprised at all to see a pullback back into the bullish flag in order to build up enough momentum to finally go higher. That being said though, the market was to break higher based upon some type of “risk off” type of situation of the weekend, then we could get a huge mover. All things being equal though, it does look like we probably need to backup to at least find some value.