Silver Price Forecast – Silver Slams Into the $22 Region

Silver Price Forecast Video for 01.12.22

Silver Markets Technical Analysis

Silver has rallied significantly during the trading session on Wednesday to slam into the $22 level. The $22 level extends to the $22.50 level for significant resistance, so I’m looking for signs of exhaustion, thereby taking advantage of a shorting opportunity. However, if we were to take off above the $22.50 level, it’s likely that silver will really break out at that point. At that point, I’d be looking for a move to the $25 level.

A breakdown below the 200-Day EMA, sitting at the $20.91 level, could send the silver markets down to the $20.40 level, where the 50-Day EMA currently sits. The silver market has been extraordinarily strong, but we are in an area that’s been traditionally difficult to get above. Keep that in mind, and don’t jump in with both feet. Quite frankly, you need to either see some type of breakout, or you need to already be long of the market. Chasing the trade at this point is a great way to lose money, because you are essentially gambling on whether or not the silver market can break out.

Keep in mind that Jerome Powell is speaking during the trading session, and that will have a major influence on what happens next. The next thing to think about after that is going to be the Core PCE numbers coming, which is the favored way for the Federal Reserve to look at inflation. Because of this, I think there’s a really good chance that we see some type of major move, but at this point it’s still a bit premature to try to guess what that might be. Because of this, a little bit of patience will probably go a long way.

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