Silver Price Forecast – Silver Markets Stabilize

Silver markets did very little during the trading session, which is quite interesting considering the stock markets around the world are collapsing. This suggests that perhaps people are starting to look at the industrial component of silver just as much as it is the precious metal component. At this point, I believe that silver does favor the upside longer-term, but obviously we have a lot of issues to work through right now. The 50 day EMA certainly looks as if it is offering a little bit of support, as it typically will. Underneath, the $17.50 level underneath should offer quite a bit of support.

SILVER Video 28.02.20

All things being equal this is a market that has plenty of support underneath, not the least of which will be found at the $17.00 level as it is a large, round, psychologically significant figure, and of course the scene of the 200 day EMA. This means that the market is probably going to continue to respect that area but if we did break down below the $17.00 level, then it’s likely that the market goes looking towards the $16.00 level next. That would be the beginning of a major “risk on” type of move in my estimation, something that doesn’t seem very likely in this environment. That being said, the most important thing about the market is its price, so you would have to listen to it. I think we are much more likely to see a bounce from here than anything else, reaching towards the $19.00 level.