Silver Price Outlook – Silver Continues to See Buyers on Dips

Silver Technical Analysis

The silver market has rallied a bit during the trading session on Tuesday after initially gapping higher, pulling back to fill that gap and then launching. That being said, I don’t know if a lot has changed here due to the fact that we are still very much in the consolidation that we have been in over the last couple of weeks. What this does tell me, though, is that there are plenty of buyers out there willing to get involved if we do get the occasional dip.

So, with this, I think we have a situation where you just need to be patient, wait for value and take advantage of it. The $35.48 level is an area where we had seen a lot of resistance in the past and recently we’ve seen support. The 50 day EMA is racing towards that area and with that being the case, I think it all comes together for some type of really resilient floor. If we can break above the $37.50 level, then it’s likely that we could go looking at the $40 level.

In general, silver is just simply following gold and of course, following the shrinking US dollars. So that all comes together quite nicely for the possibility of higher prices in silver going forward. With that, I like buying dips. I have no interest whatsoever in trying to short silver and I look at this as a market that is going to eventually go much higher eventually.

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