Silver Price Outlook – Silver Continues to Look Strong Overall

Silver Technical Analysis

The silver market finds itself very noisy in the early hours here on Thursday as we are hanging out just above the crucial $48 level. The $48 level, of course, is a large, round, psychologically significant figure and an area that a lot of people are going to be paying attention to. If we pull back from here, the $46 level ends up being support right along with the $47 level. It is a very bullish market and right now, I think you have to look at any dip as a potential buying opportunity, but you also have to recognize that we are getting awfully close to the $50 level.

Over the last several decades, $50 has been the top. Whether or not that ends up being the case again remains to be seen, but clearly, it’s something that you have to at least keep in the back of your mind, and that might slow down the ascent of silver, at least in the short term. If we were to turn around and break down below the $45 level, that would set up a deeper correction, which could and probably should happen, but that doesn’t necessarily mean that it will happen.

So, with that being the case, I think you have to look at this as they buy on the dip market until it proves itself to be otherwise, but you also have to be congruent with the idea that markets do shift radically and silver is one of them that does it almost instantly. So be cautious about the volatility that will certainly show up. Again, keep an eye on that $50 level. It’s the most obvious level in just about any market I follow right now.

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