Silver Price Forecast – Silver Markets Test Trendline

Silver markets fell rather hard during the trading session on Tuesday, testing a major uptrend line that I have drawn on the chart. Beyond that, we also have the 50 day EMA in this general vicinity, and it could cause a bit of a bounce. In fact, this is one of the more interesting charts I’m looking at right now.
Christopher Lewis
Silver daily chart, November 06, 2019

Silver markets have fallen rather hard during the trading session on Tuesday, testing a trend line near the $17.65 level. By doing so, it is also testing the 50 day EMA which of course will attract a lot of attention. The question now is whether or not the market can continue to find buyers? So far, it does look as if the area could hold but it doesn’t necessarily mean that it will be an easy long to take. At this point, the question then becomes whether or not we are in a “risk on” or possibly a “risk off” type of situation.

SILVER Video 06.11.19

Precious metals of course will attract a lot of attention when there are concerns about geopolitical conflict, and of course a potential continuation of central banks cutting interest rates. At this point one would have to suggest that perhaps the market will continue to find a lot of reasons to look to protect wealth, which is part of what silver can do. Ultimately, I do believe that we will bounce but if we were to break down below the $17.25 level, that would be an extraordinarily bearish sign. All things being equal I think we are still very much in an uptrend and should continue to be so unless something drastically changes with monetary policy. At this point, I’m a buyer of short-term bounces, trying to build a bit of a larger core position.

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