Silver Price Forecast – Silver markets try to recover on TuesdaySilver markets gapped higher to kick off the trading session on Tuesday, pulled back a bit to fill that gap, and then bounced again. It looks as if we are trying to stabilize a little bit near the $14.70 level.
Silver markets gapped initially during the trading session on Tuesday, but then pulled back to fill that gap to find signs of support. By forming a tiny hammer, this suggests that we are going to try to recover the massive bearish candle from the Monday session, but I think it’s only a matter time before we show signs of exhaustion. This will be especially true if we reach towards the 50 day EMA, as silver has found so much in the way of bearish pressure. The question now is whether or not the $14.50 level underneath will offer support?
SILVER Video 12.06.19
The $15.00 level above is massive resistance, so I think it’s going to be difficult to break above there, because it is such a large, round, psychologically significant figure. Having said that, it’s not impossible and we could very well break above there and go towards the 200 day EMA above which is painted in blue. By breaking above the 200 day EMA, the market should then go looking towards the $16.00 level above, which is the top of this downtrend.
If we were to break down below the $14.50 level, it’s very likely that we would continue to go lower but I think in general this is a market that is trying to find its footing, but we also have a lot of noise in precious metals as there is a significant amount of noise when it comes to risk appetite. Expect volatility, but this is the market that we are looking at.
Please let us know what you think in the comments below