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Silver Price Forecast – Silver markets slightly lower

By:
Christopher Lewis
Updated: May 24, 2019, 16:37 UTC

Silver markets gapped lower to open up the Friday session, but traded in a relatively tight range. At this point, the market seems to be fading away, which makes sense as we head into the weekend, which is also leading into Memorial Day in the United States.

Silver daily chart, May 27, 2019

Silver markets gapped lower to kick off the session on Friday, as we started to reach towards the weekend and of course Memorial Day celebrations in the United States. This means that there would be a lot of attention paid to the holiday and not so much to the markets. This being the case it’s very likely that the volume is light, so therefore you can’t read too much into this situation presented itself on Friday. That being said, there is still a major downtrend line that continues to push this market lower so I am fading signs of exhaustion.

SILVER Video 27.05.19

That does not change until we break above the $14.85 level, which I think could extend resistance all the way to the $15.00 level. Looking for signs of exhaustion on short-term charts continues to be the way that silver should be traded. However, if we did break above the $15.00 level, then we could see the market go towards the $15.25 says level, possibly the $15.50 level. Ultimately, this is a market that is going to be sensitive to the US dollar as well, so pay attention to what’s going on over there. If the US dollar strengthens, then that continues to put massive pressure on silver. Beyond that, you also have a lot of concerns when it comes to global growth. Remember, silver is a major industrial metal, and of course will be affected by that as well. All things being equal, it looks as if the market continues to go lower over the longer-term.

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About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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