Silver Price Forecast – Silver slightly up on FridaySilver markets rallied a bit during the day on Friday, reaching towards the $16.10 level as I record this. However, there is a significant amount of resistance above, so one would have to believe it’s only a matter of time before the sellers come back.
Silver markets rallied a bit during the day on Friday as there was a bit of a “risk on” rally, or perhaps just short covering ahead of the weekend. Market participants got a bit of good news as it appears the European Union is starting to work out the framework of a migration deal, which is a huge sticking point for some of the countries. This also could likely save Angela Merkel’s career, and the markets like that.
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However, I think that the downtrend is very much intact, and when you look at the weekly chart, the candle stick is very negative and has broken below the bottom of a hammer from the previous week. Because of this, I think it’s only a matter of time before the sellers return, as silver has struggled. Nonetheless, I like silver from the longer-term perspective, but I would need to see it stabilize and perhaps break above the $16.50 level for a short-term buying. Back and forth with a slightly downward grind is what I would expect, so keep that in mind if you are short-term trader. For myself, I have been buying physical silver for some time, and that has not changed. I believe that these dips offer value for the longer-term “buy-and-hold” investors. Eventually, fiat currencies are all going to have issues, and gold and silver will be where people run to. Until then, I think we get a lot of noise based upon geopolitical issues.